In Berlin, rental arbitrage has been very profitable, with average annual margins of 25-40% after all costs but before taxes, so shifting to a market where arbitrage is barely breaking even is definitely a reality check.Given your experience, would you say the best way to enter the market now is through purchasing properties with financing?

Since then, I've purchased 7 properties in my local area.

Hello,I purchased my first rental property last year and rented it out for 10 months.

Purchase price: $425,000 Cash invested: $5,000 ell after just 6 months of owning.

Let's assume the financials in the package are good for a moment (they probably are not) AND that you either do not or do achieve the broker's pro forma:If you purchase this asset, achieve ONLY the 'current' NOI, grow NOI 2% per year, and exit at a 5% cap at the end of Year 6, you will have a 4.8% unlevered IRR. 

I recently purchased a second foreclosure property, another condo on the east side, and am looking forward to flipping this one. 

Hello, I am new to the BiggerPockets forum and looking to purchase my first investment property this year.

@Nick Henry this also comes down to how much time you have available and how much effort you are able to put into purchasing a home or building and doing renovations and then finding quality residents to live and take care of your asset.

You can find some 2 units under or around $250K but they have been sitting on the market for over 150 days which tells you its not a great deal if it were an investor woud have already purchased it 4 month ago.  

My question is: After I build the units, can I do a cash-out refi and use the equity to purchase another home?