Why the Prices are Too High is an Excuse! Introduction to Long-Distance Rental Property Investing
Just because your market’s prices are too high does not mean that you cannot invest in real estate! Today, we will shatter any excuses you have by showing you an array of long-distance rental property options to consider.
We will cover how you can do it yourself, how you can leverage a partner, what Turnkey Investing is, and why it might be a potential option for YOU.
Just do it!. Today, right now, you can start to establish and focus on a specific location and then educate yourself and make connections there! Start now! Choose a growing market. Examples of growing Markets in Ontario: Toronto, Waterloo, and Brantford.
You can Partner with someone who lives in an area further away and be a “passive investor” of sorts because you’re only focusing on providing capital since you’re too far away to manage the property and don’t have as much knowledge on that market as a local would.
The challenge with partners is that everyone has their own agenda, value structure, and personality which will inevitably lead to some form of clash in decision-making
It is extremely vital to find a good property manager when it comes to long-distance rental property investing, for obvious reasons (you’re not going to be there to manage the property or manage the manager). It can be better to partner with an investor because they have a vested interest in the property. Whereas property management can actually have a negative bias against your objectives, since they make most of their money on vacancies they are incentivized towards vacancies, technically speaking.
- There are actually companies out there that purely focus on turnkey investing. The best benefit of turnkey investing is the ability to invest in good markets without really having to be there. So for instance, people who live on the east or west coast will often use turnkey investing to get a stake in the midwest. A good turnkey company knows its market and has greater insight than others. It’s hard to gather deep insider information about a market if you don’t live there…