Buying investment property to rent

[Jash Sayani]

Hi,

I am interested in buying a property in a city like Orlando FL, Miami FL or Ocean City NJ. They seem like good locations for value retention and the houses are in the $100-$120K range. If I pay 20% down and get a mortgage, I could rent the place to cover the mortgage costs and HOA. All I would have to pay are the property taxes. I plan to hold for longer term (5+ years).

Here are the questions:

1. What are good cities for rental properties?

2. Is there a way to find a property manager that finds renters? If so, what are the costs?

3. Is there a way to use money in 401(k) for the 20% down payment? This would also be an investment (better than 401k funds in my opinion).