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Purchase a property in another state and rent out, to prepare the retirement. Is it possible? How to do it?

A colleague of mine bought a property in a northern place before she retired. After the retirement, she lives in Texas half the time, mostly in winter, and lives in the northern place the other half time, mostly in summer.

I think this is a great idea. So I am exploring the idea of buying a property in another place. Probably a small property, maybe a condo. I am interested in Chicago, IL, where I went to school in the past. The areas I enjoy are downtown, or near University of Chicago. I will need a loan to buy, and also need to rent out to pay the mortgage. I am close to 40 yo. I am aware that managing a rental 1000 miles away is a challenge. My plan is to purchase a home warranty, and hire a local property manager. The target property is 2bed 2bath or above. Now I am able to use 50k as down payment. In another 2 years, I might be able to save 100k as down payment.

I know Chicago is a super tenant-friendly place. Is there any trend there to further expand tenant right? What are the home price currently in Chicago? Could the seasoned investors here provide some advice, like where to buy, what price range should I target, particularly if you own a property or rental in another state? Or give me some reality check. I appreciate your input. Thank you.

submitted by /u/zorro_usa84
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source https://www.reddit.com/r/RealEstate/comments/otzs7e/purchase_a_property_in_another_state_and_rent_out/
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