All Forum Posts by: Ryan Alacon

@David Friedman thanks David. Great advice!

@Jason Graves awesome! Any advice on how to create some opportunities in this market? Thanks

Hi, I’m located in Southern California and, as many other investors out here, can’t find any good deals locally. I’ve played with the idea of investing out of state but being a first time investor I have many reservations. Also, I do have a 9-5 job so managing an out of state property in person would be difficult. Just curious to see what other Southern Californians are doing. Hibernating till a correction in price? Investing out of state? Still buying locally? Partnering with out of staters? Sold properties and all in on bitcoin? 😁

@Danielle McClelland I’m in my mid 30’s now and just getting started as well. Lots of reading and networking! Good luck!

Hi! I'm new to REI and trying to understand it from all angles. What are the niches in REI? I can think of directly investing in buy and hold SFR or MF and Apartments, fix and flip, Syndications, Air BNB/short-term rentals, mobile homes/mobile home parks. Anything else i'm not thinking of?

Thanks! 

@Colleen Prescott I'm new to REI also and have yet to buy a property but I have been doing my due diligence and building a network, so take what I say with a grain of salt :) . I feel your pain! I am in San Diego and it is slim to none getting a good MF rental out here with good cashflow. I'm sure there are always deals locally, but trying to compete with established, seasoned investors with strong capital behind them is a waste of time. So, I'm with you on investing OOS. Some things I've learned from talking with people that really makes sense to me (I didn't have time to read all the responses, so I apologize if I am echoing whats already been said) :

1. Build a strong network in your target market. Use referrals if possible from people that have success in the area. Bigger Pockets is a good source.

2. Visit the target market. Meet the agents, contractors, property management companies, etc in face to face.

3. Build a list of properties and visit them in person.

4. Scale if possible, starting with a small MF.

I know some people out there never see the property they invest in and have been successful. But I think if you're going to buy multiple properties in a particular market, you should at least spend some time there. I think the money spent for a plane ticket and a few nights in a hotel is well worth it. Also, I could be fun checking out a new place.

Hope this helps. Keep me updated on your progress! I'm always interested in knowing how other people starting out in REI are doing.

Cheers,

Ryan

@Ian Ippolito 

@Jay Hinrichs

@Theo Hicks

Thanks for the advice everyone!  

@Account Closed Thanks! So no other requirements, like having past real estate investing experience or business experience?

Hello BP Community! I'm new here and to REI. Like a lot of people, I'm looking to better my (and my family's) quality of life and financial situation through REI. I live in San Diego, CA with my wife and 2 beautiful children.

I'm currently in the beginning phase of my journey and just trying to soak in as much information as possible. I think my target properties will be MF units and out of state. After running the numbers in my locality and the amount of capital I have, investing in my backyard does not look to favorable on paper.  This would be my first investment into real estate. Based on my current situation, I'll be ready to invest in a 8-10 months. 

There are a lot of people out there that advise against out of state REI (especially for a first-time investor), however, I don't agree with that methodology completely although they make valid arguments. My question to the BP community is targeted to those who have invested out of state successfully.

1. What steps did you take to lower the risk of failure in investing out of state?

2. Did you use a syndication or partnership with someone local?

3. What are the good, the bad, and solutions you experienced in your REI journey?

4. Best advice you have to a new investor looking to invest in multi-family properties out of state?

A side question for a syndication. I believe as a requirement, under current law, an investor has to be an accredited investor or a sophisticated investor. The definition I've found online all appear to be pretty vague as to what a sophisticated investor is. If any syndicators are reading this, can you clear up what a sophisticated investor is?

Thank you all in advance! 

Hi @David Waddleton. I’ve been searching around myself. This is going to be my first purchase. But the areas I found attractive are Indiana and Tennessee. I’m from San Diego so I feel your pain. I hope you keep us updated or at least let me know how your search is going. Nice to hear from a fellow noobie. Cheers!