If the repairs are manageable and you’re getting at least a 10-15% discount, it can be a great deal—but avoid properties with major structural failure or uncooperative sellers.

As the owner of a property management company in Washington, I have encountered this situation before.

Then you can self-manage and learn all about tenants, contractors, etc. 

My wife and I started managing more properties for others as word of mouth recommendations started and we started to use the management and arbitrage cash flow to acquire our own properties and fund the BRRRs we were working on.  

Property Management Is Still WorkEven if you only have one or two tenants, you’re still a landlord—which means handling maintenance, lease agreements, and potential disputes.

Even competent 3rd party management can only mitigate, not necessarily address many of the issues that arise when owning lower tier properties & population growth alone is not a magic pill. 

Hi Cecil,We're based in Redding as well and operate Authority Property Management.

We run into this especially at out parcels in grocery anchored centers, and our users generally can't make a ground lease work for the business case so the next best thing does tend to be the BTS or we often do Reverse BTS deals where the majority of the building design and management etc is done by the tenant. 

From there, you have to decide whether you want to be a landlord or hire a property manager.

Investing in a property that’s already renovated, rented, and professionally managed could allow you to start generating passive income immediately without the added expenses of house hacking.What’s most important for you in this first deal—cash flow, appreciation, or long-term stability?