Checklist or data points to look at when choosing an out of state market?

[Vincent DeLucia]

What are some checkpoints or data numbers you always look at when searching for an out of state market for rental properties? Crime rate, job growth, population, median income etc. Anything else that is a must to review?

[Leo R.]

@Vincent DeLucia first and foremost, I wouldn't buy anything OOS that's lower than a B property in a B neighborhood.

We see lots of folks on the forums who are inexperienced who buy OOS in C or lower areas--they get lured in by the A-grade rehab on the property and the seemingly excellent cashflow, and then learn the hard way that it's not worth the small returns for a PM to put in the serious effort required to correctly manage a property in a C or lower area...  the story is always the same: PM goes MIA, property sits vacant, when they do find a tenant the tenant stops paying, causes endless headaches, and eventually trashes the property... Now they have a trashed, crime magnet property that nobody will manage, that nobody wants to rent, and nobody wants to buy--all because it's in the wrong area.

Location, location, location.

Good luck out there!