REI in Local or Distant Markets

[Jaden Fein]

Hey everyone!

Does anyone have any opinion towards your first property being local to you or distant(other cities/states)?

Besides having to account for a property management company, are there any other major factors that come into play when investing outside your local market?

Thank you!

[Michael Thach]

If you decide to do out of state investments, be sure you got a good realtor and a better property manager. Screening of tenants is one of the most important thing. Your investment depends on that one tenant and how well the property manager screened them. In my first properties I looked over the tenants application to make sure, those are people I want. 

Even locally, I would always advice to have a property manager. Don't save on the 8-12% management fee, the trouble and the problems you create are usually bigger. If your property needs repairs and you call someone, you usually end up paying more, than using the one from your property management fee. If your property manager is seasoned, they usually have the best tradespeople to do the work.