All Forum Posts by: Ellette Craddock

If you want to be truly passive - syndications.  If you want to be partially passive - turnkey with a property manager.  A common misconception is by using a property manager you will be a passive investor.  Although third party property management is great and I recommend using one, you still have to be involved with the deal.  The tenants won't be calling you (usually) but you will still have to make decisions frequently and be involved with the processes. As an LP in a syndication, you are truly passive.  You will write a check, receive monthly updates + quarterly distributions, and wait 5-10 years for the big payout. 

The best step in your situation will likely be to simply locate a handful of great real estate agents in any of the markets you're interested in.

A great agent can provide you insight to the most profitable available properties, best property management, great contractors, and other other hiccup you might encounter in the process.

BP is a great place to start when hunting for great agents.  

Good luck!

I would try and narrow down what you are looking for in an ideal property and then narrow down for a few markets from there. As long as you have a good team in place it should be a smoother process and should ultimately make or break your success in a market where you aren't there. @Ellette Craddock

How much money do you have to invest? That will allow us to answer better.

Hey @Ellette Craddock, welcome to the BP community!

The struggle is real! Investing in real estate with a busy job that has you traveling frequently is tough because you're unable to really spend time in a market. Essentially, you will have to treat investing like most out of state investors do. You'll need to build a strong team in your chosen market and spend a lot of time analyzing deals and understanding that market. You do have a advantage over other OOS investors though in that you spend some of your year in a great market, here in Atlanta. It might make sense for you to start out with some kind of rental that you could stay at while here in Atlanta and rent out to colleagues while you're away. Maybe just focus on rental housing for folks in the film industry since this is a tenant base that you understand.

Keep in mind capital requirements. A second home loan is at least 10% down (plus another 2-3% for closing costs), just to get you into the property. You might be able to get a primary residence loan for as low as 3% (plus closing costs) if you convince the lender you're living there most of the year, but I wouldn't count on this. Worse case scenario, you're looking at 20% down (plus closing costs) for an investor conventional loan product or something similar. This is likely how you will have to purchase property after the first one. 

There are more creative ways to get into property here in Atlanta and other markets but many of these are less passive or have higher capital requirements. 

Hope this helps a bit though! Please, feel free to reach out anytime if you have other questions or just want to chat!

@Ellette Craddock ~ Have you looked at being a passive investor in a syndication? It requires some capital so I don't know if that is an option for you right now, but if you haven't already it might be worth educating yourself on this strategy. It does require you to take some time to do some due diligence on those you are investing with, but once you do so, it can be very passive and might be a good fit for your lifestyle. 

Cheers, 

Marcus