Newbie from San Francisco, California

[Evan Chen]

Hey all,

My name is Evan. I'm 28 and I live in San Francisco, California. I've been a Bay Area resident for most of my life.

I'm a Software Engineer and recently have been interested in Real Estate Investing. I just finished Buy, Rehab, Rent, Refinance, Repeat and started reading Long-Distance Real Estate Investing.

I'm looking to invest out of state for cash flow since home prices around the Bay Area are expensive. I've been looking into West markets like Arizona and Nevada since they're close to me and the Mid-West/South markets since I've heard that they're great for cash flow but have been having trouble figuring out which city I'd like to start in.

I look forward to talking to ya'll soon.

Thanks!

[Dmitriy Fomichenko]

Welcome to the BP family @Evan Chen , you came to the right place to learn all about real estate investing!

Check out BP Podcasts: https://www.biggerpockets.com/podcast

Best of luck!

[Kevin G.]

Welcome! I'm with you on the out of state investing. I have the same goals as you do! I live in the Bay Area too, and it seems to be a common theme between us all that we'd rather invest our hard earned money somewhere else. The prices here are insane. 

I've looked at the Kansas City, Missouri area and as well as the Dallas-Forth Worth, Texas area. They're worth checking out. I'm gonna be trying for multi family over SFH.

If you're keeping your expenses low, you can save a lot of that high bay area salary and it'll go a long way out of state. Thats what I'm hoping to do. Feel free to reach out or asking more questions. Would love to bounce ideas off one another. 

[Joe Black]

Welcome. Have you considered house hacking to get started? Last year I was in the same boat as you and decided to house hack in Oakland while I continue to define my criteria and identify an ideal out of state investment strategy.

I was able to upgrade my living situation and vastly increase my monthly savings as a result of the house hack. Also it was a great way to dip my toes into the real estate game with reduced risk.

[Mark Pedroza]

@Evan Chen

For upcoming webinar's follow this link for this month's meet-up's:

https://www.meetup.com/topics/...

Follow the topic that interest(s) you as they're are other Bay Area investor's who have the same interest's as you..

Good luck...

[Mark Davenport]

@Evan Chen

Welcome! I’m in the Kansas City area. Moved here from NH to grow my portfolio, to take advantage of the insane value to be found in the Midwest. In the process grew from 18 doors to 109 in 1yr. Would love to connect!

Mark

[Caleb Brown]

If you do look in KC, let me know

[Aubrey Tatarowicz]

I started out with single family rentals out of state and have moved into syndication. I still have the SFRs and they are great. The key thing for out of state investing is the team. We really trust our property manager team out of state and they keep everything moving from finding tenants to rent collection and repairs. If you want to to do BRRR out of state, yes, the area matters, but you'll want someone you trust on the ground to make sure things are moving along.

For SFRs, the 1% rule is a good general guide as to what will cash flow in the long run, but you have to be careful if the numbers look too good. For example, for SFRs, I stick to A- to B- properties. You can always find that $60K house that pulls in $1200 rent in a C- neighborhood, but you're not going to get paid every month and the turnover is expensive. Happy to talk more about the SFR management team or syndication if you have questions.

[Brian Garlington]

Welcome to the website Evan!

[Travis Cassell]

Hello Evan, I'm happy to answer any questions regarding the Georgia market or how to manage props remotely. I currently own a property management firm with 400 units under management. In our market it is very competitive to find cash flow deals, however longer term buy and hold strategies are still relevant here because of good fundamentals. Most of my owners are out of state and so I would advise to carefully select your property manager as they are your eyes and ears "on the ground" and they can also be a good source for off market properties. 

[Andrew Syrios]

Welcome aboard Evan and best of luck!

[Evan Chen]

Thank you all for the warm welcome!

@Joe Black I currently live and own my 1 bd/1ba condo in SF with my girlfriend. House hacking has definitely on my mind especially since my friend recently decided to house hack in Oakland. Due to the prices though, I'd probably have to sell my current place which doesn't make sense at this time.

@Kevin G., @Mark Davenport, @Caleb Brown I'd love to connect! I'm really interested in Kansas City since I've been hearing really good things about cash flow there. Since this is my first OOS investment, I'm probably going to go with something more turnkey.

I've also begun looking more into Greater Phoenix (AZ), Pittsburgh (PA), Indianapolis (IN), and Texas (Dallas, San Antonio, Houston, Austin).

[Kerry Noble Jr]

welcome!

[AJ Shepard]

@Evan Chen

Portland is close and priced less than where you are at. We are expecting to see some good deals in the condo market come with the pandemic shutting a lot of businesses down and a migration from the city core. I’d expect to see this is some major metros this coming winter, just a thought.

[Anthony Angotti]

Originally posted by @Evan Chen:

Hey all,

My name is Evan. I'm 28 and I live in San Francisco, California. I've been a Bay Area resident for most of my life.

I'm a Software Engineer and recently have been interested in Real Estate Investing. I just finished Buy, Rehab, Rent, Refinance, Repeat and started reading Long-Distance Real Estate Investing.

I'm looking to invest out of state for cash flow since home prices around the Bay Area are expensive. I've been looking into West markets like Arizona and Nevada since they're close to me and the Mid-West/South markets since I've heard that they're great for cash flow but have been having trouble figuring out which city I'd like to start in.

I look forward to talking to ya'll soon.

Thanks!

 Welcome to the community! I have a lot of out of state customers from the bay area that invest in Pittsburgh, but as you mentioned there are a number of areas that may work for you. 

Most important step is to build a team. The Long Distance Real Estate Investing Book has some great topics that detail just how to do that. 

Best of luck! 

[Elise Bickel Tauber]

Hi Evan. We work with a lot of investors from the Bay area. As Tony said, Pittsburgh is a great area to invest in. You can pick up a lot of properties for a much lower investment out here. If you are thinking about researching the areas to see if it is a good fit, I highly recommend @Account Closed. He works with a lot of investors from across the globe and can point you in the right direction!!

[Brian Garlington]

@Evan Chen   I'm here in the Bay Area as well. Welsome to BP! I've got connections in the Cleveland Market where I also have some rentals...........let me know once you get pre-approved with a lender and I can hook you up with them.

[James Wise]

Originally posted by @Evan Chen:

Hey all,

My name is Evan. I'm 28 and I live in San Francisco, California. I've been a Bay Area resident for most of my life.

I'm a Software Engineer and recently have been interested in Real Estate Investing. I just finished Buy, Rehab, Rent, Refinance, Repeat and started reading Long-Distance Real Estate Investing.

I'm looking to invest out of state for cash flow since home prices around the Bay Area are expensive. I've been looking into West markets like Arizona and Nevada since they're close to me and the Mid-West/South markets since I've heard that they're great for cash flow but have been having trouble figuring out which city I'd like to start in.

I look forward to talking to ya'll soon.

Thanks!

 Welcome aboard Evan.

[Thomas Corley]

@Evan Chen

Welcome to BP and I would definitely recommend AZ I am currently located here as an inventor and an agent the appreciation is on fire here! Maricopa county is top 5 county in American in appreciation but Nevada would be better for cash flow so it’s really comes down to what you’re looking for in your investment.

If you have any questions about the AZ market happy to help!