Suggestions for Investing Out-of-State

[Crystal Chang]

I am a resident of Southern California and I'm looking to invests in rental properties.  However, after running the numbers, I cannot find a deal that will cash flow with a 20% downpayment (even if I self-manage the property myself).  

I want to invest in out-of-state rentals, but because I have a full-time job already, I wouldn't be able to monitor the rentals.  

Any suggestions here would be greatly appreciated.  Thank you!

[Joe Kim]

Originally posted by @Crystal Chang:

I am a resident of Southern California and I'm looking to invests in rental properties.  However, after running the numbers, I cannot find a deal that will cash flow with a 20% downpayment (even if I self-manage the property myself).  

I want to invest in out-of-state rentals, but because I have a full-time job already, I wouldn't be able to monitor the rentals.  

Any suggestions here would be greatly appreciated.  Thank you!

Welcome to BP(biggerpockets)!   Many of us live in California (SF bay area for me) and invest in Positive cash flowing out of state properties.   Easiest way to get started is find a reliable, trustworthy "turnkey provider"   (search it on BP).

Although I made a lot of mistakes on my first deal, a good turnkey provider can walk you through the whole process.   What's really helpful is also having a mentor, friend, or colleague who can help you along.   Of course, you have BP community.   When I bought my first several houses I did not know about BP at all.  

I have worked with big brokers - Jason Hartman, and individual providers in Texas, Indiana, Tennessee.   I also bet a good guy name Mark Shaffar recently on BP who has deals in the midwest and Milwaukee.  

I would be glad to help in referring you to some of the best providers I have worked with so far.   I'm currently buying my 6th out of state property in San Antonio from one of the best providers I have worked with so far.   

Keep in mind that buying real estate is "messy".   Nothing is perfect...far from it.   The biggest thing that newbie's do is over-react to small issues.   The second biggest thing is analysis paralysis.  Third biggest problem is not knowing potential pitfalls (which sometimes just comes with time and experience).    

One sure way to fail in real estate is to quit when it gets difficult.   

I recently spent $5200 in roof and AC repair on the same house in the same month.  Not my favorite property but I know it will make money for me in the long run.