I have 3 homes managed by a property manager.

You would have to self-manage though, as paying a property manager will eat up most of your profits.

I used Hostify and you can work it into the management system to figure and charge all of that for you.  

If the negative cash flow is manageable and the appreciation potential is strong, it could be a smart move.On the other hand, investing out of state allows you to enter more affordable markets with strong, steady returns, helping you to build a diverse portfolio over time.

If there’s a significant difference, it might justify the cost of adding more beds.For example, we manage a 4BD property where one bedroom is currently locked off, so it only sleeps 6 (1 king, 2 queen).

We're an appreciation market, not as much of a cash flow market here, unless you're putting a large down payment or actively managing STR's.Buying out-of-state can get you more cash flow, but the tradeoff is less appreciation (usually), and cash flow can be eaten up by maintenance and expenses.

It makes lead management way more efficient since they get to focus on people who actually want to do business. 

I'd recommend working with a good strong property manager that lives in that area that can check on them.

Just make sure the management part is taken care of.

My wife and I come from a manufacturing leadership and project management background.