How do you predict emerging markets?

[Ryan Johnson]

I am buying a place on the west coast as a short term rental(cash flow focused) but the more I look into it the more I believe there is significant potential appreciation. This town is isolated from others and severely underpriced compared to it's west coast neighbors. I think the draw of inexpensive living coupled with lots of sunshine and available recreation could draw a big crowd from California retirees. It has a mildly bad reputation but I find it to be mostly hype. How can I differentiate between a town with potential and one that will remain behind the curve? Does it come down to industry/jobs/growth?