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.

This is the way it is in many states and areas across the country. My advice to them is don't let that stop you. Not all states and areas in this country were affected by the real estate bubble bursting.

Yes, most of the the country has seen some kind of affect by the recent credit crunch but there are many areas that never saw the crazy price appreciation of 50% a year or more. There are many states that just saw a steady rate of 3 to 5 percent. So when the bubble burst the drop was not near as drastic as these high appreciation areas.

So if you are wanting to still invest here is how you do it.

Hunt for states that were not affected by the real estate bubble on the upside. They will not have been hit as hard when everything went down. They are the states and areas that just saw moderate appreciation when everything was going strong.

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.

I have known many investors who told me they could not find the deals that would work in there area so they went to another state or another market. They did not listen to all the naysayers who told them they were stupid and they did not let anyone stand int there way. After a few years of doing this they were sitting pretty and they where the ones laughing all the way to the bank.

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.

To qoute a famous company, Just do it. You will not be the first and definitly not be the last investor to figure out that if you want to be succesful and are willing to take some calculated risk you may find yourself looking up in a few years and realizing that they have changed their financial destiny.

You can find the deals just be willing to do what others won't do and you will be a success.

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Author: Jesse Davis is an expert wholesaler and works with many investors, helping them build cash flow with rental properties. For great cash flow properties and to recieve information on Wholesale real estate in Jackson Mississippi

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