St. Louis is an excellent market for real estate investors, and you can take advantage of the opportunities here even if you live out-of-state or out of the country. All you need is local support and an understanding of the St. Louis rental market and tenant pool.
At AMOSO Properties, we work with out-of-state investors all the time. We can help you navigate a purchase or manage a home from anywhere.
Working with Local Property Managers
Smart investors know that professional property management can result in higher returns and lower expenses. Working with a property manager is especially necessary when you aren’t living geographically close to your investment. When you’re looking for a rental management company, find one that has years of experience in the local market. You’ll need a nuanced understanding of local laws, neighborhoods, and economies.
Purchasing an Investment from Out-of-State
Managing a rental property that you already have is one thing, but when it comes to buying a property that you cannot visit yourself, things can get tricky. If you’ve decided to buy in the St. Louis market, try to make a trip out so you can view the opportunities and evaluate the options. If you cannot get to St. Louis yourself, make sure you have a trusted third party who can look at the home and have it inspected. A property manager can do this for you, and it’s wise to choose someone who has personal as well as professional experience with property investments. Be prepared to pay this Expert for their time and help. Some Property Managers may provide this service in expectation that they will gain your business if you purchase the property, while others may ask for a reasonable fee. Always treat your manager fairly, remember they are saving you the cost a plane ticket.
This is where local experience will again come in handy. If you live in Seattle or Miami, you might not realize what needs to be done to purchase a rental property in St. Louis. The rules of occupancy and the compliance requirements might be different for two properties that are only a couple of blocks apart.
Your property manager should give you good advice about what to buy and where to buy it. A fixer-upper may be attractive, especially since the price is likely to be lower. However, you won’t be there to participate in the renovations and the work, and things are always more expensive and time-consuming than you think they will be. Work with your real estate company to find a rent-ready property that can immediately begin generating rental income.
Communication and Technology is Critical
As an out-of-state investor, you’ll want to stay informed about how your property is performing. You’ll want to know when your home needs maintenance and whether your tenants are paying rent on time. Working with a property management company that invests in up-to-date technology can help you receive rent payments electronically and also allow you to see accounting reports and view invoices in real time. You’ll also be able to communicate more effectively with your management team from anywhere in the world. You should expect accounting reports, inspection photos, and other information that helps you stay in touch with your investment.
We’d love to share some information on how we protect and manage your St. Louis rental property. Please contact us at AMOSO Properties and ask what we can do to help you invest successfully in this market.