FARUKI

I have met many investors that have told me that they want to build a rental portfolio but they can’t in there market because of the houses being to expensive compared to rents or the taxes on the properties are so High that they will not cash flow.

For example, many investors that I meet from California who want to build cash flow and get the tax benefits of owning rental properties just can’t make the deals work there because a small peice of crap house is 200k or more and the rents they can get for the houses just don’t cover there payments.

Many areas where the real estate bubble burst and destroyed alot of the value do not provide the opportunities to build a rental portfolio but there are some areas in the US that were not effected as bad.

There are some states that never even understood all the hype about the real estate bubble because they were not reaping all the benefits of 100% appreciation. In return when everthing went to crap they did not get smashed either.

Here is a plan if you still want to build a rental portfolio.

Like a spy, search for areas that did not reap the rewards of a booming market. Those areas also did not feel the pain as hard when everything went to crap.

Once you have found the area, find the local wholesaler there. Don’t waste time trying to find the deals youself. Look for the wholesaler there that is selling huge volume like 8 to 10 properties a month. That person is makeing money off of voulume and you will only save a few grand by doing it yourself. Overall for the time that you save by paying him or her there small mark up it is well worth it.

When hunt down the major wholesaler in the area he will know all the right people you will need in order to take a deal from purchase to a tenant in place. They will do all the work for you and without you there.

Check everyone out very hard so you know you are working with people of integrity and are not going to get screwed. Once you have found them then proceed on buying some houses. Most of the work will be done for you once you find the right people to work with.

There are alot of investors who have changed there lives because they had enough guts to step out of the norm and go to other markets and invest in other states. Don’t let anything or any one stop you in your quest to build a better life.

The key is finding someone you trust. Buying good properties with good cashflow and staying aggressive. Once you decide to get out of your comfort zone and stop accepting excuses for not investing you will have the potential to change your future.

Don’t be like everyone else sitting on there butts not investing because it won’t work in your immediate market. Others are succussful doing it and you can to.

The deals are out there just be willing to go find them, even if you have to go to another state. If you are willing and get off your rear and take some risk you will be in position to change your future. Good Luck!