Originally posted by @Jad Boudiab:
Originally posted by @Christopher Duron:
Hello everyone. I am new and could use a little direction. I plan on purchasing a property out of state for buy and hold purposes. I am bouncing all over the board with markets, property type, and trying to research every piece of data that goes with making a sound decision. I would like to get into a small multi-family in a good market and I need to narrow down my focus. Anyone know of a good market to invest in or any other information I should know? Currently, I am in research mode and I need to shift into action mode soon. Any advice is good advice and I will greatly appreciate your time.
I'm not sure I like this investing Out of State model right now. Prices are at a peak, and given that you're out of state you will have a disadvantage to the locals. Also consider your exit strategy, what happens if things don't go as planned (which happens) and you want to exit sooner than expected?
I'm all about encouraging someone to invests, but I'm not sure this is the best strategy in today's market. Food for thought.
Food for thought accepted! It's always good to hear information that makes me/anyone "pump the brakes" for a bit and think. Thank you for the comments.
I'm curious though, what makes you say prices are at a peak? I've heard both sids of this argument and I'm interested in how you have come to this conclusion?
As far as an exit plan, I have to have a market to narrow down my options first. For example, where I am located, vacation rentals are not wanted by many neighborhoods and the citizens have passed a ballot measure to stifle them (though there are loopholes as indicated by the amount of vacation rentals currently operating). With that being said, I know the market I decide to invest in will dictate my exit strategy.
If I am to get into the game, I will for sure have an exit plan. For now I am analyzing 5-10 deals a day and trying to get proficient with the numbers to enable a focused, systematic, decision making process.
Please hit me back and let me know your thoughts.
Thanks. Hope to hear from you soon.