All Forum Posts by: Ricardo Peterson

You all have given me fantastic advice, I may reach out to a few of you soon! 

I have a lot of thinking to do. Cheers

 Thank you Layne!

Worth noting that the Phoenix Valley isn't exactly a small town (though I got what you meant). I mention this because my position isn't exactly the same as one considering investing in rural Kentucky, for example. Phoenix is expanding significantly, which can make this investment option more attractive (ofc. factoring my ties to AZ, many cities in the US are expanding rapidly but I wouldn't consider anywhere else for now).

Also, any thoughts about mortgage interest rates for the coming months? My guess is that they'll continue to drop, but by how much is unclear to me.

 Thank you very much Pamela! I'll keep you in mind if I have any questions, I appreciate it. 

@Niecola Roberts

Thank you for your input. Another factor here is the rapid growth rate of the Phoenix area, coupled with the fact that I'm willing to travel there multiple times a year (after all, having my entire family there makes this easier). I will need to continue educating myself, since at the moment I am not compelled to purchase a home in the Bay Area with this income. I'm not sure how it's like in LA, but 750K is about the cost of a small condo in the cheapest areas of the Bay. Add to that PMI, HOA, property taxes, maintenance, etc... For now I'm mostly compelled to continue saving for a down payment. I'm in my late 20s and still have time =)

Hi all, I hope that there are plenty of folks in similar situations, that way responses to this post are valuable to many.

My spouse and I are in the Bay Area, and our net income will soon be 170K - 200K. 

Would it be feasible to live well below our means and begin investing in real estate locally, or would it be wiser to use this money to invest at a distance in cheaper cities? 

In my case, I have parents who live in an area with median home prices around ~250K (Phoenix Valley in AZ), which is far more manageable. They also have relationships with local agents and CPAs. I'm afraid that, with our income, there's a very high barrier to entry in the Bay. But yet again, 'landlording' at a distance has its challenges. 

Go easy on me since I'm still learning! 

Thanks in advance.