All Forum Posts by: Jag Sekhon

Welcome to BP Jeffrey! As a fellow newcomer, I can tell you that there are a lot of smart and helpful people on this site. Have fun networking, and good luck with your Real Estate goals!

Jag

@Ellis San Jose Great insights, definitely something for me to think about. Thanks!

@Brandon Turner Already on it! I've been rampaging through the podcasts, which are amazing, and have read the UBG cover to cover (which is wierd since it's an E-Book!). I will definitely set up my keyword alerts. Thanks!

@Jay Y. That sounds like it might be a good idea for me. Thanks for the info!

@Ali Boone Thanks! Hipster Investments is quite a snazzy name as well! If I do end up investing out of state, I think I will go the turnkey route. Any advice on finding a good turnkey company? What should I look for?

@Marco Santarelli Great article! I like the idea of being "market agnostic". Thanks for the suggestions!

@Matt Mason I definitely see your point. I'd much rather invest nearby where I can keep an eye on things. The only reason I'm even considering out of state is the ridiculous California, and escpecially Bay Area, prices. To be honest, I've done a lot of handyman/repair work on homes with my father in the past and I really enjoy it (no I'm not crazy)! Ideally I would buy, repair (within reason), and manage my own property.

I'm starting to get the feeling that for my first property, I might want to just suck it up and try to find something relatively close (2+ hrs away in the Central Valley) to get my feet wet before considering going out of state.

Thanks for your feedback Matt!

Jag

@Arthur Garcia I can see what you're saying. Personally, the only reason that I am looking out of state is because the Bay Area (and most of California) market is so insanely inflated that a first time investor like me really has no chance. I would MUCH rather invest close to home. You bring up a good point about not outsourcing everything. That is one of my big reservations about investing out of state.

Thanks for the great input! It really helps!

Jag

Thanks for responding everyone! You guys rock!

@Arthur Garcia You said your market is about 2 hours away from you. My question is, since your property manager and contractors are the ones handling the operation/repairs, why does it matter whether your property is close or not? It seems to me that the only way proximity would help is if you were close enough to actually manage the property yourself. Hopefully I'm not just being a total newb right now!

@Jay Y. What is a turnkey company? I've heard of turnkey properties, but it sounds like you're talking about something different. Again, sorry for the newbness!

@Johnson H. One of my big concerns with out of state is property management. As a first time investor, I will only be starting off with one property. I've heard that if you only have one property, property managers won't manage it very well because they're more focused on their larger clients. How did you choose your property managers? Did you encounter this problem? Thanks!

@Matt Mason Definitely good points to consider. My next step is to get involved with local clubs to see what they are doing. I would much rather buy a property within driving distance vs out of state. Thanks for the post!

@Craig E. The only problem with Sacramento for me is the distance. It takes me 2 and a half hours to get there and 2 and a half to come back. As I've never managed a property before, can someone share their experience with property management? How often can I expect to have to drive up there if I were to manage it myself? And if I got a property manager, then wouldn't that just be the same as investing out of state, as I would not go to the property anyways? Thanks!

@Jay Y. absolutely agree with you. For a first time investor, it's just way too expensive here.

@David Krulac I have looked at properties that are slightly further away from me (outside the "commuter zone") and the cashflow still does not add up. The rent is much too cheap and the prices still relatively high (I don't think you can even buy a shack for $20,000 in Cali!). The deals only slightly start making sense about 2-3 hours away, in which case I might as well be out of state because I can't manage from that distance anyways. These California prices inflate very quickly. Thanks for your comment!

@Gunnar Teltow Glad to hear! Good luck and keep us posted! =]