In our last School of Wealth Strategy call, we talked about building your wealth team. Afterwards, Michael asked the following question about building a team in a state where you don’t reside.

Q: How do I build a wealth team if I want to invest in a different state than where I live? How can I identify good team members if I don’t live there or is it better to primarily try to invest in your local area only? Can it be a good strategy to have rentals in different geographical states if they are managed well and cash flowing?

A: Building a great team is never easy. You have to find team members who you can trust and build a relationship with. This is true whether the team member is local or in another state. The single most important team member is your wealth coach. And your wealth coach can help you find team members anywhere. That is one of their primary functions.

It can be a good strategy to have properties in different states. For example, when I saw the Arizona market heating up a few years ago, I decided to start investing outside of Arizona. I chose Utah because it wasn’t overheating. What a great decision that turned out to be. Arizona has gone down in value and in rents and my Utah properties continue to do well.

I don’t suggest investing in just any state, however. Choose a state you are familiar with and even locations you understand. Make sure you do your due diligence on the market. Remember that becoming an expert at your investing is crucial to your success. It’s very difficult to be an expert in lots of different markets. I chose Utah because I grew up there and knew the market well. Work with your Wealth Coach on choosing your markets as well as your team.

If you would like more information on building a wealth team or finding a great wealth coach, contact us at 866.467.5809 or cs@provisionwealth.com

Warmest regards,

Tom