So my homework is more oriented around which areas I'd like to narrow down to, compare purchase prices and costs to rental income and figure out what works for us. 

I have not been through this process before, however I feel it is likely the best approach to compare other rates against the quote I received.

While I'm not finding the amazing numbers that some might find in other areas, I run very conservative numbers prior to purchase and usually get a better return than I anticipate. 

This limits my ability to see if they are employed, any information on prior rental history, criminal history etc.I planned to ask the owner to get them to sign a month to month and tell them that my intention is not to put them out after each month (which it isn't) but in case things go bad I do not want to endure it for a year.

I’ve also done the “do it yourself” method out of state, so I can compare the two different routes.

Appraisals are way less in depth and more of a quick look through and comparison to comparable sales to establish a value.I would be worried about whether or not the deal still works for you.

Hi guys hope you all well and growing your business.I usually buy single faimily homes from the auction at low price since they need tons of rehabs (the ones I pick), Im trying to implememt the BRRRR strategy, contacted couple of banks the problem is since Im trying to refi in less than a year they would give up to 70% of the purchase price and no apprisal at this stage (onw bank offered 3 months delayed purchase I think thats whats called but not sure).The problem Im having is they depend on the purchase price which is low as compared to the ARV and wont send appraisal till 1 year and I neither have lots of cash to keep in one or two deals and wait for one year nor do hard money.Trying to refi as soon as Im done with the rehab if possible which most of the time takes me 1 month max on average size house.Any recommendations would be appriciated.Wish you all the best of luck. 

Compare a 100k gain for SF/San Jose and it might not be that large.

25% is a good number since you do not have prior history.

I've been noticing that many out of town investors are drooling to get into the Memphis market due to the extremely low cost of properties and the good rent prices when compared to the cost of the house.