General Advice for Investing in Las Vegas, NV

[Erick Daniel Alvarez]

Hello all,

Some friends and I are looking to start an LLC to begin investing in rental properties. We're from Los Angeles and just getting started. That being said, it's been difficult to prioritize cash flow and find any deals given California housing market prices. We've decided to start looking in out-of-state markets and have identified the general Las Vegas area as potential market we'd like to invest in. We'd like to find some properties to purchase under $150k. Does anyone have any general advice for regions and cities outside of the traditional Las Vegas area? (Places like Henderson and Spring Valley seem to be a little too expensive given our price point.) We're a little weary about purchasing houses that need a lot of rehab given that we live out of state. Any advice is extremely appreciated.

Thanks so much for the time and help!
- Erick

[Bill B.]

I think you'd be lucky to find anything in regards to a SFR under $200k in the valley and you'd probably have 1 day to buy it before they received multiple offers. You might find a condo but then you have to be wary of HOA rules and fees. I really wouldn't consider anything outside the valley (pahrump Indian Springs, etc.)

I would suggest Arizona but it’s probably the same story. 

If you’re going to partner with more than 1 person I would look at $300k+ properties. Splitting a cheap property 3 ways may have little risk but it’s going to have microscopic returns.