Right now I am passively looking at properties, not yet ready to make any offers and polishing my deal evaluating skills.

I'll go over the best steps I feel would most efficiently get an RAL off the ground and how I am currently evaluate future projects.

One easy way to start evaluating a market is looking on Furnished Finder, VRBO/Airbnb (30+ day stays), and Zillow to find other listings in your market and see how many, what they are charging, and generally what they look like.

And you don't know how to evaluate other markets?

(These averages represent state-level; individual cities may levy additional taxes.)To achieve the same level of cash flow as a property in Nevada, you would need to generate a higher cash flow in Texas and Florida to offset the higher operating costs.Texas: The property must generate $5,752 ($9,256 - $3,504) more cash flow annually to compensate for the higher operating costs in Texas.Florida: The property must generate $2,343 ($5847 - $3,504) more cash annually to compensate for the higher operating costs in Florida.Overhead costs can have a large impact on cash flow.A Process For Selecting an Investment CityThere are too many potential cities to evaluate each one.

Evaluate the total cost of needed updates, like new roof shingles, kitchen improvements, and possibly converting the garage into a bedroom, ensuring these will add significant value.

Here’s some additional advice…1) Really evaluate dropping your rent or incentives.

Examine Transactions: Gain expertise in evaluating real estate transactions.

Evaluate the rental market in your area to determine the optimal configuration for maximizing rental income.The choice between using cash flow from your current house to cover expenses or pay off the mortgage faster depends on your long-term financial goals and risk tolerance.

Most times not only do you need to analysis the property(s) you’re investing in, you also need to evaluate the sponsor/manager.