Looking for ways to boost your income? Check out these resources to help you with your money journey.
Check out the Investor Mama’s Money Mindset-Mini Course! January 5-7, 8:00 PM EST
Tips for Investing Out-of-State
- Step 1 for out-of-state investing is to conduct market research to really hone in on the areas that meet your criterion (i.e. population, job growth, rent to value ratio, etc.)
- Step 2: Use your real estate agent to help you narrow down the right neighborhood.
- Step 3: Get a great property manager in place otherwise the numbers won’t matter. Use testimonials and recommendations to help find a good one. They will provide you with market rents in addition to managing your property. Don’t forget, you date your agent but marry your property manager.
- Step 4: Find a contractor to walk through your properties to help give you repair and rehab cost quotes.
- Step 5: Find your property. Use auction.com or Xome auction to identify properties online. You can also see if your property manager knows of any distressed sellers.
- Good deals come from distressed sellers, distressed properties, and distressed markets.
- BRRRR-Buy, rehab, rent, refinance, repeat
- Buy a property that is distressed and can purchase at 75%-80% of the after repair value including rehab costs and closings costs. For example, you buy a house for $60k including closing costs and rehab is $15k. After the rehab, it’s worth around $100k. After the rehab, you refinance out the $75k you used for purchase and repairs leaving the $25k equity in the property. You’re now able to rent out the property so it cashflows and get all of your money back out allowing you to repeat this process.
1. What is one fun fact about you that not that many people know?
I’m a twin with a boy and everyone always asks us if we’re identical. And I look at them strangely. I’m like, no, no, we’re not.
2. Who inspires you the most and why?
You know what my husband not to be cliche, but he is so incredibly supportive and open-minded, and this has been an amazing journey.
3. What books are you reading now or have read and loved that you’d recommend?
Long-Distance Real Estate Investing: How to Buy, Rehab, and Manage Out-of-State Rental Properties by David Green and Buy, Rehab, Rent, Refinance, Repeat by David Green
4. What is one actionable tip or piece of advice that you can tell our moms out there to help them on their financial independence journey?
Write down your goals and then break them down into smaller tasks or actionable steps because it’s just an idea until you start working on it. Even for us, when we wanted to buy our property, we gave ourselves a timeline, we bought our plane tickets, we reached out, we started taking the small steps and then at the end of the day, we hit our goal.
- Check out Elyse’s Interview on Bigger Pockets Rookie!
- Marshall Reddick Real Estate Network
- Buy Real Estate on Auction with Xome Retail and Auction.com
Connect with Elyse