what questions do you ask/data do you analyze to select investment markets?

[Kolby Knickerbocker]

I'm looking at investing in several out-of-state markets (potential BRRRR strategy in mind), I have a list of qualifiers that I'm sussing out to determine viable markets but would love to know: what data helps in determining a good market to invest? what questions should be asked?

TIA!

[Jake Baker]

@Kolby Knickerbocker

Every market has deals. You should invest where you feel you have a competitive advantage. I invested in Jacksonville, FL, because my old job would fly me there multiple times yearly. I learned about the city over time and began my out-of-state investing journey.

Whatever market you choose, be sure to nail down your buy box. This will allow your agents and wholesalers to assist you better. 
- Property type (single-family homes, duplexes, or small multifamily)
- Min/max square footage or number of bedrooms and bathrooms
- Desired cash flow or ROI metrics to ensure profitability
- Property Condition (turnkey, light cosmetic fixes, or heavy rehab)
- Neighborhood type (A/B-class areas for appreciation vs. C-class for cash flow)

I agree with @Evan Polaski that you need to know the market inside and out before you invest. No need to hit a grand slam on your first deal. A single is find if it means less risk.