All Forum Posts by: Danny Gonzalez

It really depends on your financial situation. Are there good deals in Charleston? Yes. Will they be hard to find? Yes. But can you succeed there? Absolutely.

With this mindset, you move past sitting on the sidelines out of fear—which is probably why you're asking in the first place.

As someone who used to think the same way, I’d say face the fear, take the risk, and buy the property. Just make sure the numbers work. Proper due diligence will reduce your risk, but it won’t eliminate it entirely.

Personally, I like value-add opportunities because they build in equity from the start. Real estate is a powerful and proven way to grow your wealth.

In my experience, Birmingham is a hidden gem for real estate investors. It has all the fundamentals for strong growth, yet it’s still priced affordably because it flies under the radar.

I’ve put together a 50-page guide that covers everything you need to know about investing in Birmingham. It includes detailed neighborhood breakdowns, market projections, and actionable steps to help you get started.

If you’re interested in learning more, you can download it for free here:

freedomventurespm.com/bhamultimateguide

Yes, I’ve got plenty of experience with this as we sell properties to out of state investors all the time.  

Before you buy, make sure to get the latest rent roll (a breakdown of what tenants are actually paying in rent), the tenant ledger (which shows their payment history—whether they’re paying on time or carrying a balance), and of course, a copy of each lease agreement.

Too many investors rely on what the seller says, which often doesn’t match up with what the tenants are doing. You want to verify that these tenants are ones you'd actually want to keep—do they pay on time? Do they take care of the property? Were they properly screened?

The key is to get the full picture before you close. If you do your due diligence, it can be a great investment and help reduce vacancy. But too many buyers get stuck with problem tenants and end up facing evictions, chasing down rent, or dealing with underperforming properties.

Hope this helps!

@Kevin Forsell

This is a contrary opinion but I would in 2024, with the technology we have accessible, investing OOS is totally doable.  

Here are a few ways to ensure success:
1) Find the right team.  This going to be crucial to your success.  You'll want a great Realtor, contractor, and Property Manager.

2) Ensure you have enough liquidity.  Things will break, tenants will move out, and sometimes you'll have to deal with evicitons.  Be sure you have liquid funds to be able to withstand these expenses.

3) Study the market for yourself.  You might have a good team, but ultimately it's your investment.  Visit the town, meet the people in person, walk the property.  That one day trip will be well worth it.  

If you can find good deals in Utah, I would go that route.  We live in a ultra connected world.  Don't be afraid of investing OOS, it's totally possible.  We help people all of the time invest in OOS.  

Best of luck!

I think it's less of "where" the property is and more of "what" the property is.  By What I mean, the numbers e.g. the purchase price, potential rent, rehab costs, etc.  

There are deals to be found in every market.  The question is do you have the team OOS that can consistently deliver you solid deals, and then have the right management team in place to ensure profitability and peace of mind.

I own a vertically integrated real estate company in Birmingham and we help people all the time wanting to build wealth in a lower priced market with high cashflow.  But Birmingham is not the only market that's viable.  In my opinion, finding people that you can trust and build relationships with is a better use of time than scouring and trying to find the latest and hottest market.  

Hey Ignatius,

I work with OOS investors all of the time. A few things to consider when starting out:

1) Be sure you have liquidity for the down payment, but also a healthy reserve account, since unexpected costs will come up while owning real estate.  Remember, no one else was foreclosed on due to a lack of equity, it's always due to a lack of liquidity.  Ensuring cash reserves in key when starting out.
2) Visit the town you want to visit in.  Even if you have to visit $1k for a day trip, go and walk the area, meet the PM/Realtor/contractor in person.  You want to get a real feel for what you're buying and who'll be working with.  It'll be worth it.
3) Get very clear of what your goals are with the real estate.  Is it to cashflow every month?  Is it a way utilize some tax deductions?  Maybe it's a way to build generational wealth by having a tenant pay down the principal every month?  Knowing what goal you have in mind allows you to choose the right strategy to get you there.

I own a vertically integrated real estate company that ties in the Core 4 to make OOS investing simple and lucrative.  Feel free to reach out if you want more info and want to hear about some current off market deals we have.

Hey Ashley,

Accounting/Bookkeeping is not my strong suit so maybe we can help each other out.

I run a real estate company in Birmingham AL and I've been in the industry for over a decade.  I'd be willing to teach you the ropes, if you're willing to help me get more proficient with accounting.  

I've done over 75 flips in the past 3 years, we manage 300+ doors, and I own 28 long term rentals.  Would be glad to help you!  

Hey Steven,

That's awesome that you want to build your real estate portfolio.  It's not a get-rich-quick scheme but if you keep at it, you'll be able reap great rewards.  The one question that comes to mind is, what's the purpose of the real estate?   Will you want to use it to retire from you current job and live off of the cashflow?  Do you want to hold long term and then have it paid off in 30 years?

I don't work the Midwest but I own a vertically integrated real estate company in Birmingham, AL where we help people acquire, remodel/develop the project, and then manage it all in house.  We make out of state investing extremely simple since we oversee all aspects of the process while allowing you to reap the benefits of owning the real estate.  We work with a lot of people from California and Hawaii since prices are a lot more affordable in the south.

Look into Birmingham AL.  It's a market that flys under the radar with a lot of investors, but the fundamentals are there.  Very stable, lots of new exciting development projects, and surrounded by larger metros like Atlanta and Nashville that are too crowded and too expensive.  

It depends on how badly you want to move.  Renting out the house doesn't sound like it will make money or break even every month, once you account for vacancies, maintenance, increases in tax/insurance, and turnover costs... unless I'm wrong there? 

So if you're going to lose money every month by keeping the house and moving, I would say just take the hit and sell it.  It's better than spending money every month on the mortgage.  Plus it will help you avoid unneeded stress when inevitably something big breaks e.g the HVAC or turnover that's $5, $10k+.

Primary homes are not the best investment, especially with the last cycle that we had.  It's an expensive lesson, but you'll be a better investor in the future because of this experience.