Has anybody have any tips on how to go about investing in out of state properties. I currently reside in California and although I make an OK living and have perfect credit, it's not enough for me to buy my own place here. I'm getting killed tax wise so my goal this year is to buy a home somewhere and rent it out.
2007-04-11 11:05:59 · 10 answers · asked by Abegon 2 in Business & Finance ➔ Renting & Real Estate
I work with several California investors who have done exactly that.
The first thing is to locate a good Realtor who understands that you are looking for a good, solid, investment property that isn't going to need a lot of updating and maintenance.
I can give you referrals to a couple of people who I know would do a good job for you. They can send you copies of the listings and you can winnow them down to ones you are interested in. I would recommend you make a trip up here though to see before you buy.
Next, because you are going to be an absentee landlord, I would highly recommend you engage the services of a property management service to make certain your tenants are well screened and your property is maintained responsibly. There are several up here to choose from.
This (Portland, Oregon metro) area has a nice selection of properties and prices have stabilized in the last few months so now is a good time to get in. Due to all of the colleges (Portland State, U of Portland, U of O Health Sciences Center, Concordia College, Portland and Mt Hood Community Colleges, Lewis and Clark Law School, etc.) there is usually a pretty strong rental market here.
Feel free to email me for further information.
2007-04-11 11:17:36 · answer #1 · answered by Anonymous · 0⤊ 0⤋
Well, I also live in California. I live in the Antelope Valley, 60 miles North of LA. I bought a house when I was just 20 years old. The city is growing and growing...you are still able to get a brand new house in the low 300's. I am now 22...bought my house at 242 and it is worth over 300. You should really do some research on this area. Also a lot people rent here because if you are able to rent a home for the same cost as an apartment then why not? People rent there homes for like 1500 because they have very low mortgages due to the houses being inexpensive...with your credit you could possibly get a low, low interest rate. I knew nothing about owning a home when I bought mine... I had just moved out of my parents house into an apartment, 6 months later I realized that I needed a home for myself, a backyard... age 20 I did it all on my own...best thing I could have ever done. Oh and property taxes are about 1600 twice a year. And like any area there is always good and bad... The west side of Palmdale and Lancaster are very nice, most new homes and Quartz Hill is pretty much nice where ever you go. Good Luck!
2007-04-11 11:11:52 · answer #2 · answered by imissrascal 3 · 0⤊ 0⤋
A good investment city for you would be Las Vegas, and I'm not just saying that because I'm a Realtor here, it's kind of common sense. Future resale and business will always be good because everybody from around the world wants a piece of this city in some way shape or form, just like Hawaii. With the steady masses of conventioners, vacationers, snowbirds, college students and relocators, your property would probably always be rented out. Different locations attract different types of renters. Vacation rentals are huge here, and make great positive cash flow if done properly.
And with the some of the non taxes here, you'de get a break on that, as well as property tax, which is lower here than CA and TX. There are somefantastic properties here that are not only affordable, but offer great upgrades and incentives currently for buyers. It'll pick up more in the Summer time.
2007-04-11 12:05:22 · answer #3 · answered by CJ 3 · 0⤊ 0⤋
Investing in a state other than California where prices are high is a good idea. Check out http://www.realestatejournal.com to find good places where the rent could cover your expenses.
But if you're doing it for the tax break only, I must disappoint you. The IRS has clamped down on deducting real estate losses. You can deduct up to $25,000 of losses per year if your AGI is below $100,000 and it phases out between $100,000 and $150,000 at which point no deduction is allowed anymore and all losses are carried forward to future years or may be deducted against other passive income.
2007-04-11 11:22:06 · answer #4 · answered by Bettina C 2 · 0⤊ 0⤋
Being an absentee landlord is asking for a lot of grief. Collecting rent, taking care of maintenance problems, keeping tenants under control is a full time job, with no pay.
If you are interested in real estate, consider investing in REITs. Vestin Mortgage is a company with headquarters in Las Vegas. They presently manage two REITs which trade on the NASDAQ; VRTA and VRTB. The shares are currently trading at a discount. Income could be as high as 10%.
Vestin operates in Nevada, Southern California, Texas and a few other areas in the Southwest.
2007-04-11 11:14:27 · answer #5 · answered by regerugged 7 · 0⤊ 0⤋
The real estate market in Texas is good - check out foreclosures - REO properties held by the bank. You perhaps can get a home under market value - which you'll need if you're going to rent it out. The market is fierce there since a lot of out-of-state buyers are doing just what you are wanting to do. And then too, check out states that are closer to you - because even if you're a out of town/state landlord - you need to make your presence known - not just the real estate company that you might hire to handle renting it out. Good Luck.
2007-04-11 11:16:57 · answer #6 · answered by Topez 6 · 0⤊ 0⤋
Know your area! Someplace that is not saturated with rentals and you do not get the tax breaks if you hire a management company - who, by the way don't do much more than collect the rent. So pick an area you want to visit - Reno? Tahoe? Vegas? so you can deduct your travel expenses to check on the property maintenance.
2007-04-11 11:13:44 · answer #7 · answered by justwondering 6 · 0⤊ 0⤋
First attempt to discover anybody you understand and believe. Whether they're a dealer, agent or lawyer. Just b/c they're any such 3 does no longer routinely hinder them from being the correct individual for you. You ought to believe cozy with them. Keep in brain for the period of all of this, that they're operating for you. If they don't seem to be operating however simply amassing a paycheck, discover anybody else. Everyone of the aforementioned humans can and can make a giant amount of cash for those who pick to paintings with them. Further, such a lot markets within the US have tilted closer to the purchasers aspect to a point. This method you're now within the drivers seat. Everyone within the truly property enterprise demands purchasers. Best of good fortune. Joe...
2016-09-05 10:19:52 · answer #8 · answered by ? 4 · 0⤊ 0⤋
Ask spoiled above if she know what happen in Antelope valley during the 80's.
If fact i would be willing bet if she listed her house now that she ould not get an offer for 300k in the next 60 days. I am in for 100 bucks bet.
Any way check out this web site your day will be hear soon.
http://www.breakingbubble.com/
2007-04-11 13:58:38 · answer #9 · answered by Anonymous · 0⤊ 0⤋
If you want a deal on a house- head straight to Michigan-and now is the time. We can help with the mortgage and the real estate purchase- we are a one stop shop. www.debjim.com
2007-04-11 12:25:20 · answer #10 · answered by northville 5 · 0⤊ 0⤋