David Greene - Long-Distance Real Estate Investing: How to Buy, Rehab, and Manage Out-of-State Rental Properties

Praise for

LONG-DISTANCE REAL

ESTATE INVESTING

Ive been in real estate my entire adult life, and I have seen many different systems and ideas on how to get rich in the business. Davids system is the first solid one Ive seen that allows you to choose the market thats best for you and invest where it makes sense, not just where you happen to live and are comfortable. I recommend this book to all my listeners on Real Estate Rockstars.

Pat Hiban,New York Timesbest-selling author of 6 Steps to 7

Figures: A Real Estate Agents Guide to Building Wealthand

Creating Your Destinyand host of the award-winning podcastReal Estate Rockstars

It is a common misperception in real estate investing that you should buy only where you live. David Greene has put that myth to rest. In this book, he shows you the secrets to building your wealth through real estate. This is a must-read for investors who want to expand their real estate empire nationwide.

David Osborn, best-selling author ofWealth Cant Wait

Davids advice in this book was the catalyst I needed to finally look outside my own backyard for real estate deals. I tripled my rental portfolio by purchasing out-of-state rental properties thanks to the advice in this book. I wish I had read this a decade ago!

Brandon Turner, real estate investor, podcast host, andauthor ofThe Book on Rental Property Investing

Ive found the key to a successful day hinges on putting yourself in a position to succeed before the day starts. The same is true for your financial life. David has found a way to allow anyone to invest in real estate wherever it makes sense to do so, rather than waiting for his or her specific market to be in an ideal state. If you want to experience financial success in the future, you should start preparing now. This book will show you how to do exactly that!

Hal Elrod, number one best-selling author ofThe Miracle

Morning

The real beauty of Davids system is that the principles apply to scaling your real estate investing business across the board, whether youre looking to pick up a few single-family rentals or acquire large multifamily properties. He systematically disassembles the myths and roadblocks of long-distance real estate investing and in their place provides the path to successfully investing anywhere, whether near or far!

Andrew Cushman, real estate investing expert and author on

BiggerPockets.com

This publication is protected under the U.S. Copyright Act of 1976 and all other applicable international, federal, state, and local laws, and all rights are reserved, including resale rights: You are not allowed to reproduce, transmit, or sell this book in part or in full without the written permission of the publisher.

Limit of Liability: Please note that much of this publication is based on personal experience and anecdotal evidence. Although the author and publisher have made every reasonable attempt to achieve complete accuracy of the content in this book, they make no representations or warranties with respect to the accuracy or completeness of the contents of this book and specifically disclaim any implied warranties of merchantability or fitness for a particular purpose. Your particular circumstances may not be suited to the examples illustrated in this book; in fact, they likely will not be. You should use the information in this book at your own risk. Nothing in this book is intended to replace common sense or legal, accounting, or professional advice, and it is meant only to inform.

Any trademarks, service marks, product names, and named features are assumed to be the property of their respective owners and are used only for reference. No endorsement is implied when we use one of these terms.

Long-Distance Real Estate Investing

David Greene

Published by BiggerPockets Publishing LLC, Denver, CO

Copyright 2017 by David Greene.

All Rights Reserved.

Publishers Cataloging-in-Publication data

Names: Greene, David M., author.

Title: Long-Distance real estate investing : how to buy , rehab , and manage out-ofstate rental properties / David Greene.

Description: Denver, CO: BiggerPockets Publishing, 2017

Identifiers: ISBN 978-0-9975847-5-2 (pbk.) | 978-0-9975847-6-9 (ebook) | LCCN 2017956004

Subjects: LCSH Real estate investment--United States. | Dwellings--Remodeling. | Dwellings-

Remodeling--Planning. | Residential real estate--United States. | House buying--United States. |

Rental housing--Management. | Rental housing--Finance. | Real estate management. | BISAC

BUSINESS & ECONOMICS / Real Estate / General | BUSINESS & ECONOMICS / Personal Finance / Investing

Classification: LCC HD259 .G74 2017 | DDC 332.63/243--dc23

Published in the United States of America

10 9 8 7 6 5 4 3 2 1

DEDICATION

For Kyle, my best friend and biggest supporter. Youre a lion. For BiggerPockets, because without you, I would never have had the confidence to carve this path, and for GoBundance, whose members encouraged me to think bigger, take more risks, and bet on myself. This is to all those out there who wont accept the status quo and who push the limits of whats always been.

CONTENTS

CHAPTER 1

WHY INVEST OUT OF STATE?

Ninety percent of millionaires become so throughowning real estate. More money has been made in realestate than in all industrial investments combined. Thewise young man or wage earner of today invests hismoney in real estate.

ANDREW CARNEGIE

In 1848, Andrew Carnegie immigrated to the United States. As the son of very poor parents, he became one of the first American rags-to-riches stories. Carnegie got his start working in a cotton mill for $1.20 a week and went on to work for a telegraph office and later moved on to the Pennsylvania Railroad.

Smart and hardworking, he began investing in a variety of industries including coal, iron, oil, railroad companies, and a telegraph firm (industries he was familiar with from his past employment). By his early thirties, Carnegie had amassed his first small fortune. This capital was later used to form the Carnegie Steel Company, one of the most dominant businesses the world had ever seen at that time.

Carnegie ran the company successfully until he eventually sold it to a banker for $480 million, making him one of the worlds richest men of his time. It allowed him to become the father of philanthropy. He penned The Gospel of Wealth and spent the rest of his life giving away the better part of his fortune while living a life many of us aspire to emulate.

It is safe to say Andrew Carnegie dominated the competition in his time.

To go from a dirt-poor immigrant to one of the worlds richest men is no small feat, and yet with all his experience, success, knowledge, and business brilliance, Carnegie encouraged those who desired to grow their wealth to invest in real estate.

Powerful stuff, right? Its tough to ignore the advice of a man who had seen so much, won so often, and grown to be so large. His quote above saying that more money has been made in real estate than through all industrial investments combined is powerful, and it speaks to the unique ways real estate works to grow wealth. I am one of those examples. Much like Carnegie, my family also emigrated from Scotland, and I worked in several different vocations before I began investing my wages. Like Carnegie, I have invested the profits from my endeavors in real estate for seven years. And Ive got to say, its been one of the very best decisions I have made in my life.