@Account Closed, what size apartment complexes are you interested in (20 units, 50, 100, 500, ...)?
The larger the complex, the more attention you need to pay to finding the right market. When you spend $20MM - $30MM+, distance is not that important as the economic outlook of the market, your ability to secure funding and having a partner to add value to and operate the complex.
My recommendation would be to initially partner with someone who is experienced and can show you the ropes (there is a lot to learn and mistakes will cost you a lot - like 6 to 7 figures).
You will also not be taken seriously on a mid to large size deal until you have some experience under your belt or are partnering with someone.
Besides the mortgage (which is typically 70-75% LTV), there will be many expenses which will run into tens of thousands, before you can even close. Then the real fun starts. Oh and don't forget the 6 months or so reserve and property improvement Capex the lender will want you to place in escrow.
In short, get as much experience under your belt as possible.
If you are an accredited investor or considered a sophisticated investor, you can get in on some syndications with well known folks on BP. I am no expert, but this is what I have learnt from being a passive investor in 500+ units thus far and it gives you a good view into the due diligence process, the PPM, the deal structure, financing, etc. I am sure there is a lot more that goes on as the active partner in the syndicate, which I hope to learn by being part of a syndication lead team in the future.
