Remote Real Estate Investing 101

Could remote real estate investing be the key to accelerating your long-term financial goals? Whether you want more passive income or an earlier retirement, keep reading to learn all about the benefits of out-of-state real estate investing, tips and tools for getting started, and the best types of rental properties for remote investors!

Summary:

• More investors are opting to invest remotely due to better market selection, easier management, and portfolio diversification.
• Turnkey rentals are great remote investments, as they have property management and tenants in place, require less maintenance, and have fewer headaches.
• For a successful remote investment, consider a low-maintenance property, perform routine inspections, and keep strict tenant screening criteria.

What is Remote Real Estate Investing?

Remote real estate investing is the process of buying and managing rental properties that are in another city, state, or country. With agents, property managers, and vendors as your boots on the ground, you don’t have to live near your properties yet are still able to enjoy all the same benefits of local investing: real estate cash flow, appreciation, tax benefits, and more!

Why More Investors Are Going Remote 

In 2025, it’s easier than ever to invest out of state. Many investors choose to do so for the following reasons:

Better Market Selection

Maybe you live in an area with unaffordable home prices, low rents, or low appreciation potential. With remote real estate investing, you’re no longer confined to your local area. Choose the market that best fits your investing goals instead!

Browse cash-flowing turnkey rentals in top markets!

Easier Management 

Many investors would prefer not to self-manage their rental properties. With a local property manager handling day-to-day operations, you do less of the work and get more “passive” income!

Cash Flow + Appreciation Diversification

Remote real estate investing allows you to diversify your portfolio across both cash flow and appreciation markets. For example, buying rentals in Cleveland for cash flow and Florida or the Carolinas for appreciation can help you weather economic storms!

How to Start Remote Real Estate Investing 

Ready to find and buy your first out-of-state investment property? Get started with these seven simple but crucial steps:

1. Know Your Goal

Are you investing for cash flow, appreciation, or a combination of the two? Do you need the extra income now, or are you happy to wait for a better (and potentially sooner) retirement? This will help you decide on your market!

2. Find a Turnkey Provider or Agent 

Analyzing rentals from afar can be both difficult and daunting, which is why you need a turnkey provider or investor-friendly agent to help you with your search for homes. Thankfully, Rent to Retirement is the top-rated turnkey company in the nation and operates in some of the best states to buy rental property, meaning there’s always an option for your investing goals. We can help you pick the perfect market! 

3. Get Pre-Approved 

Next, you’ll want to find a lender and get pre-approved for financing so you can really start browsing properties in your price range. A turnkey company or agent can help you by providing lender referrals!

4. Browse Properties (and Run the Numbers!)

Now that you have even more clarity on what you can afford, it’s time to search for properties that fit your budget and investing goals. Make sure you always run the numbers on a property before making an offer. Whether you work with Rent to Retirement or not, you can use our rental property calculator to make sure you’re cash flowing!

5. Talk to Local Property Managers 

Property managers can make or break your investment, and this is especially true when investing remotely. If you buy turnkey from Rent to Retirement, a trusted property manager will already be in place upon closing. If you’re working with an agent, ask for property management referrals. While checking out their services and fees, don’t forget to look at their reviews!

6. Make Offers, Perform Due Diligence, and Close!

Once you find the right property (or properties), make offers. If accepted, make sure you order an inspection and have your agent or turnkey provider do a walkthrough, especially if you’re unable to visit the property yourself. Then, wire your funds and close!

Did you know that Rent to Retirement offers 5% down new build investment loans?

7. Remote Invest! 

Now you’re investing remotely! Ideally, you’re earning “passive” income while your property manager oversees the day-to-day, but stay in the loop with them so you can track the property’s performance.

Tips for Remote Investors 

We’ve helped over 5,000 clients find their perfect rental—most of them remote! These are our best tips to make your remote investment as successful as possible:

Get Routine Inspections

Without being able to check on your rental in person, you’ll need another way of assessing its condition. Whether quarterly, bi-yearly, or yearly, a walkthrough or inspection from your property manager can ensure your property is in the right shape.

Choose Low-Maintenance Properties

Remote investing can prove challenging if you buy older properties that require significant renovations, large repairs, or constant maintenance. Newly renovated or new-build rentals (like turnkey real estate) tend to have fewer issues, which means more cash flow and less headache for you!

Screen Like You Mean It!

Make sure you and your property manager have strict tenant screening criteria. Quality tenants are more likely to take care of your property and stay longer. This keeps your vacancy and turnover low and your property profitable!

Tools for Remote Investors

In addition to boots on the ground, you'll need the right tools and systems for your remote investments:

1. Management Software: AppFolio

AppFolio is a property management platform that makes it easy to oversee your rentals remotely, especially as you scale and need a single hub for all of your properties. With tenant portals, communication tools, accounting features, and more, this all-in-one software has everything you could need to confidently invest from afar.

2. Lending: North American Financial

North American Financial is a mortgage lender that serves both regular homebuyers and real estate investors. With nearly a dozen loan programs, ranging from FHA and conventional to USDA and bank statement loans, the company offers plenty of flexible financing solutions for out-of-state investors.

3. LLC Formation: Nevada Corporate Headquarters

Nevada Corporate Headquarters (NCH) helps safeguard your personal assets with its LLC formation and asset protection services. You can set up your business entity in Nevada or Wyoming, two of the best states to form a real estate LLC due to their legal and tax advantages.

Remote Real Estate Investing vs. Local Investing: Which to Choose? 

Whether you should invest locally or remotely will depend on your market, your investing goals, and how involved you want to be in your real estate business. If you can more easily achieve your financial goals with out-of-state rentals, remote real estate investing is for you—especially if you have a trusted turnkey provider like Rent to Retirement to guide you through the process!

Remote Real Estate Investing FAQs

Can You Do Real Estate Remotely? 

Yes! With a strong remote investing team, it’s absolutely possible (and common) to own rental properties out of state. Rent to Retirement has turnkey properties with management and tenants already in place—in cash flow markets across the US!

What is the 50% Rule in Real Estate?

The 50% rule is a guideline that helps investors estimate rental property expenses. It states that your expenses, not including your mortgage payment, equal roughly half of your gross rental income.

Is $5,000 Enough to Invest in Real Estate?

$5,000 might not be enough to buy an investment property, which typically requires 15%-20% down. However, with Rent to Retirement’s 5%-down loan and seller concessions, you could get into a rental with as little as $0 down!