I invest close to home because I am actively involved in the business still, however there are many people the invest out of their own state and do well if you are comfortable putting your eggs in someone else care.The problem with NYC in my opinion is the purchase price vs the rental amount makes for very low cap rates with very little cash flow.2.

At that time, you may "cash out" the equity by getting a larger loan.Perhaps a better decision would be to keep the existing loan knowing that you have a nice nest egg in case of emergency.

These costs can eat any healthy return you think you may have.

Sometimes the agent will eat it, sometimes not.

It will eat into your overall profits but is well worth the education and mitigated risk you get in return.You can earn somewhere between an 8-12% return and with less effort compared with wholesaling, flipping, or being a landlord.

This looming question eats away at borrowers who are still waiting for FHA to give them a closing date.

When you are a long-distance landlord, the tenants will eat you alive.Joe Gore

It's the chicken and the egg concept.

@Joshua Dorkin

I've received consistent returns from this and am confident I could get the money back out with minimal delay.Also, do not invest more than 10% of your nest egg in any one deal.