While living in a high-cost area can present challenges, it also opens doors to creative strategies, like investing out of state or leveraging partnerships.

New and improved and looking to make it the best ever this year.

As others say, out of state investing is challenging.

Managing a rental property can be challenging, especially if it’s your first experience.

But at current prices and interest rates, this will be very challenging unless you go to cheaper areas or nearby suburbs that are cheaper. 

@Keetaek Hong I have a lot of clients who are facing the same challenges but they understand the long game and that it's imperative to build a portfolio, With that lowered interest rate I mentioned you are looking at 30% down and including PM fees will typically have you around break even or barely positively cash flowing.

If you can rehab and refinance (BRRRR) to extract all investment and achieve neutral cash flow you would have infinite return (most of my RE investments have achieved infinite return but the cash neutral has in particular gotten a lot more challenging when the rates rose starting Q2 of 2022).Any money extracted via a refinance is tax deferred. 

Challenges?

In fact, some of the best opportunities in real estate come from properties that others overlook—distressed homes with potential that just need the right investor to bring them back to life.If you’ve been in the game long enough, you know that distressed properties can offer huge upside, but they also come with their own set of challenges.

I'm very familiar with home design, construction, and navigating zoning and building permitting challenges (if that helps!).