All Forum Posts by: Rajesh P.

I just recently moved to San Francisco and was curious with the home prices being so high here, is it better to look at other markets (Atlanta, etc) to invest in or continue to learn the market out here in the bay area and find those diamonds in the rough?

I would love feedback from anyone who has done investing from a far just to see the pros and cons of it all.

Welcome to BiggerPockets!

This is a good question and one that will attract great debate across bigger pockets. You will get many different opinions but the bottom line is what do you want to achieve?

If you have the skills, capital, resources, and most importantly TIME to be an active investor in order to locate the "better" deals in your area then that may be the right strategy for you.

On the other hand, if your time and resources are limited and you prefer to be a passive investor then you shouldn't limit yourself by your local market.

Real estate investing is based on the numbers-which means the rates of return. If you can find deals that meet your goals and criteria in your area then you have found your answer.

However, I'm sure you've discovered that aside from affordability below, property prices being very high, and rent a value ratios being under 0.5% in most areas, you will have a very difficult time finding a deal that generates the returns you find attractive.

A large percentage of our clients come from California, New Jersey, New York and other coastal markets for obvious reasons. The numbers simply don't make sense.

I've been investing out-of-state from California since 2004. There are a great many deals to be found in other markets without relying primarily on the hope [speculation] of appreciation. My number one criteria is cash flow, followed by equity, then appreciation.

I could go on about the pros and cons, including some of my personal horror stories, but I won't bore you to death in this thread. I'll save that for another day.

Continued success!

@ Marco I am surprised to hear that for out of the market investing time will be saved than local market. Time is biggest constraints for me and I have been looking for out of the market investing. Can you please provide some details.

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Originally posted by @Melissa Ewbank:

hi Rajesh,

I'm also in the Bay Area and am looking to start a fix and flip business. What cities are you looking into?

Cheers,

Melissa

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Hi Melissa,

I am looking primarily in east bay, but open for any area.

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Hi All,

I am new to BP community. I am a passive / part time real estate investor. have few rentals in the East Bay Area and have been thinking to get started into flipping. Any advice where to start. Also Any networking / partnership advice? Being landlord I see return of my investment slowly but steadily,and at the same time I am able to manage it after my full time work. want to know what is realistic expectations to set on level of participation, investment and return on flipping?

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I bought one house 10yrs back which appriciated by 2.5 times; however the rent has not increased in the same ratio. Can Guru's provide some advice. Should I settle down with the rent and keep the house assuming it will appreciate or sell it and invest the equity somewhere (btw I am assuming real estate growth in nearby Neighbourhood would be same). Any other suggestion?

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All Forum Posts by: Rajesh P.

Rajesh P. has started 2 posts and replied 8 times.

Post: Delaware Statutory Trusts (DST) and Investors

Post: Need Insurance for Multi-family Properties in East Bay

Post: LLC

Post: Residential 4 Unit MF Financing - less than 25% down?

Post: Is it better to invest in my area that has sky high prices or invest in other markets?

Post: I want to get started in the SF Bay Area flipping, any networking advice

Post: I want to get started in the SF Bay Area flipping, any networking advice

Post: Over period equity has grown but rent not, what to do?