Out Of State Purchase
I plan to by multi unit properties in another state. I plan to relocate there in 2 years. It's been tough enough finding something and getting there to review. How do you manage from another state? There is positive cash flow of about $3k a year but a management co will put it in negative cash flow. What have some of you done. I'm going from NJ to AZ. Thanks to all.
Vin
Pay a GREAT management company. If they keep your property in top condition, and you buy right, your property appreciation will more than make up for the negative cash flow - plus you'll have some tax benefits that might just work out to the equilivant of a profit at the end of the year!.
We are quite successful in finding property managers at 7% with a '50% first fill renting bonus'; but occasionally pay 10% in low rent areas.
Try to look a the total picture from whole "tax" year perspective and then make your decision. Cash flow isn;t everything since taxes can dramatically influence your bottom line.