Starting out with multiple options...

[Kevin Mcilnay]

So the wife and I are looking at getting into rentals, and we have a few options. Right now we're looking at a VA Cash Out Refi which would give us about $50k to put down on a vacation rental in the mountains. These rentals (if chosen wisely) can easily net $150/ night rates and stay booked for the majority of the year. On the other hand, we might find a more local property to buy and go Air B&B. We're in Fayetteville, NC and there is a large military population here. Air B&B would be ideal for soldiers and their families who are PCS'ing into the area. OR, we may turn it into a straight rental. Another option is to do a conventional refi on our current home to reinstate my VA benefits, and then purchase a new home so that we can rent out our current home. All of this while I'm actively pursuing the possibility of a flip. However, the market in Fayetteville is currently "hyper" and available product is few and far between. Everything is also going for above list due to low interest rates. Just wanted to see what the community might have to contribute on this. Thanks in advance!

[Justin Melendez]

@Kevin Mcilnay Thanks for sharing your your thoughts and soliciting feedback. I just moved out of Fayetteville, physically, but I still invest in Fayetteville. I also have not been investing for very long ~2 years, but I will say that while the market is 'hyper', it's been competitive since I started buying deals. There is still opportunity to buy homes at reasonable prices to achieve flip and/or buy-and-hold objectives. Just as recent as last week, I know folks who've locked up deals on the MLS with great potential. Leverage wholesalers like @Robert Shortsleeves to help you find/buy deals that fit your criteria, and if all else fails try going direct to seller. I think as long as you know your criteria, know how to recognize value, and maintain strict and conservative underwriting, then you can play ball in any market. 

Also, which mountain towns are you referencing? I have some interest in mountain vacation rentals as well, but I lack the research, knowledge, and experience for it. Sounds like you've done some research and I'd love to hear your findings.