All Forum Posts by: Eric T.

@Josh Caldwell@Curt Davis@Ali Boone

Thanks for the breakdown!

While looking into out of state investing, I've noticed two types of "turnkey" companies. One presents fully rehabbed properties ready to rent and others find you a property and use your money to finance the rehab. Obviously, there is inherently more risk with the latter type. However, I'm just curious as to how common the second type is in the real estate community.

I guess along with that, is there anything in particular I should pay special attention to when vetting the latter type that wouldn't normally be an issue with the former?

Thanks everyone for the advice! Definitely starting to feel more comfortable about all of this. I'll look into finding potential partners/turnkey companies and explore my options.

Thanks for the reply @Joe Villeneuve. What does getting a partner entail exactly? Would it be as simple as asking around on BP? Or do you mean going through sites that have deals listed e.g. Ali Boone's hipster investments site.

So I've been lurking these forums for the past year (and saving up some capital for a down payment). I was wondering if anyone could give me a quick walk through on how buying out of state works (looking into the midwest area, ie Kansas City and Indianapolis, if that makes any difference). I imagine it would go something like this:

1. Find a property management company - let them know I'm an out of state investor, find out more about the micro environment of particular neighborhoods, etc. Perhaps get recommendations on realtors?

2. Get in touch with a real estate agent from the area and start getting property deals that I can check out/analyze. 

3. At the same time, find a local bank to get pre-approved for a loan so that when I find a deal I like I can immediately put in an offer.

Does that sound about right? Or should I find an agent first? Should I do it through a bank or should I be looking for private lenders/seller financed homes? This is my first property (ever!) that I plan on buying. Never owned a home in my life so any advice would be greatly appreciated :)

@Chris L. Interesting, I've been looking into other areas the past few days and Indianapolis was one of them. Anything particular about Ft. Wayne that makes it more attractive than the Indianapolis metropolitan area?

@Chris L. Thanks for the advice! What do you look for when you interview property management teams then?

@James Wise Thanks for the tip! Not really sure how JV's work, but I'll keep that in mind.

@Michael Evans I'm from the LA area. I actually did look into Bakersfield before thinking to explore Washington/Illinois/out of state, but it just seemed like the numbers weren't as great.

@Joe Villeneuve I'm looking mostly for multi family properties for cash flow purposes, not to buy and hold.

Since CA doesn't seem like a very efficient option, I've taken to exploring my options out of state. Just from browsing the forums it seems many members recommend places like TX, GA, AZ, Vegas etc. However,  I thought it might be better to invest in a state I have ties to already. I travel 2-3 times a year to Chicago and 3-5 times a year to Seattle. However, it seems Chicago/IL is very tenant friendly and there seems to be a consensus that it is more difficult to come across good cash-flowing properties on the west coast (i.e. WA). Anyone have more insight into these two states or some advice on out of state investing in general?

Thanks everyone for the tips and the warm welcomes! Look forward to seeing y'all on the forums.