All Forum Posts by: Mike Paolucci

I wouldn't recommend buying a flip or BRRRR for your first deal. You want to limit your risk as much as possible for your first deal or two before diving into heavy projects.

Turnkey single family home that is positive cashflow from day one will be the best way to learn about being a landlord. Get your code 4 (investor focused agent, lender, local property manager, contractor). A good property manager will help with the contractors and make sure you don't get taken advantage of. 

Hey Brock. I grew up in San Francisco and know exactly what you're going through. When I first started looking to invest, it was pretty tough finding a property where the numbers made sense. Not to mention the CA landlord laws aren't really landlord friendly. 

I ultimately chose to explore out of state investing and settled on the Ohio markets. The numbers worked, landlord laws were a lot better and the appreciation has only helped my portfolio.

Happy to answer any questions and share some experiences on OOS investing. 

Good luck with your RE investing journey!! 

Hi @Nakia Addison I started off by investing out of state. I grew up in San Francisco, CA where the numbers and landlord laws just didn't make sense to me. Virtually every property would have been running a negative for years with no guarantee that it would become cashflow positive. 

I ultimately chose to invest out of state in Ohio where numbers made sense, properties were cashflow positive from day one and I had some extra walking around money every month once the properties were stabilized. As time went on, I was able to buy more properties and all have appreciated over the years + rents have gradually increased. 

The key is making sure you have the right teams locally (property manager, investor focused agent, lender & contractors). 

House hacking is also a great way to get started as well. Always recommend that. 

I would suggest getting in touch with an investor friendly agent. They'll be able to find you deals. 

If the numbers don't make sense for you locally then start looking into out of stat markets. I've been investing in Ohio since 2021 where the numbers at still making sense, even with interest rates where they're currently at. 

@Ashley Ernst 

If you're confident that the deal makes sense and is a good buy, then I wouldn't let this be a deal breaker. I would definitely recommend contacting a local Property Manager and get their advice. 

Late rent and potential evictions come with the territory of being a landlord. These kind of things will happen eventually with tenants regardless of market / location of property. 

If the numbers aren't working on local properties, try exploring out of state investing. Check out the Ohio markets (Columbus, Cleveland, Cincinnati, Dayton, Toledo, etc...). I've been finding deals that are cashflow positive, even with a little TLC. 

Good luck on your property search! 

I would connect with an investor friendly agent who is located in the market/near the market you're looking to buy in. They'll be able to source deals for you which will allow you to utilize your time on other, more important things. 

I've been investing in Columbus since 2021. Started off as an OOS investor and haven't been disappointed. I've been finding deals that exceed the 1% rule with a little TLC. 

Happy to connect you with some local property managers and lenders that I've used and would recommend here in Columbus. My property manager has contractors that will be able to help out without having to stress about if they're taking you for a ride or not. 

@Syed Khalid Jamal

Check out the Ohio markets. I started investing in 2021 and haven't looked back since. I've gotten a great mix of cashflow and appreciation over the years and couldn't be happier. 

I'm originally from San Francisco and know how rough it can be trying to find a property that isn't going to run a negative. Positive cashflow properties will be your REI best friend.

I've subscribed to the saying, "If it doesn't make money, it doesn't make sense." 

Happy to chat about OOS investing if your have any questions. Good luck on your property search! 

As someone who grew up in CA, the numbers and landlord laws just didn't make a lot of sense to me. Same has been the case for a lot of buddies I grew up with that have started investing in the Ohio markets. 

I ended up investing out of state and haven't looked back. Not only because of the lower entry points, appreciation and positive cashflow from day one, but more because of the landlord friendly laws. 

Good luck on your property search!
Happy to connect about OOS investing experiences.