Out Of State
Any help would be greatly appreciated.
I would like to buy a property out of state from where I live. I intend to rent it out until I decide to move there, maybe in about 5 years. I have the following questions.
1) I need details on how to do my due diligence.
2) How do I find out how much I can rent my property for?
3) How do I find out if properties are renting in the area?
4) Should I just start contacting property management firms?
5) What is the best way to do comps for an area I am not familiar with?
6) Best way to determine local market, how do I decide what is a good deal?
I do have a friend who lives about 1-1/2 hrs away and could help keep an eye on the property, as i am across the country.
Any other questions anyone can add would be great.
Can anyone get me started?
Thanks in advance for your replies.
Don S.
Hi.
I have done this several times; not exactly the same each time. I also manage most myself.
1) Build a good rapport w/realtor investor so that you can establish what you are looking for.
2) Several good property managers/investors/realtors will gladly chat with you. Also, newpapers, online papers, online classified. And the person that you are building up to buy from.
3) Same as above... Also, you can run an ad in the local paper. I increased the suggested rent and talked to people who called me about my property. Talk to the local county section 8 office to see how much they are allowing for a 2bd/3bd for the area.
4) Yes Some will send you their agreement/contract.
5) All of the above. Also, the realtor will put you on auto email for their area. See if their site has a public area for you to research.
6) All of the above. Start NOW so that you are gathering info. and building knowledge.
7)IF you have not done property management before OR canvassed potential tenants read what is involved or talk to some potential managers to see what it takes. IF you have great tenants and a good rapport you can manage it yourself long distance, but you HAVE to know what you are doing AND have certain understandings with your tenants.
You only have a month left on the lease? Then just live it out and leave. Leave when the lease is up at the end of the month. Seems reasonable.
MC
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