if there is appreciation, but you wouldn’t sell your current home tax free and buy a neighboring home to rent out, (There by raising your cost basis for additional depreciation and lower capital gains tax.) then it probably doesn’t make a good rental property. . 

Investment Info:Single-family residence buy & hold investment.

We are not looking to buy in class c or d.

I am buying it furnished. 

I will have to buy turn key since I'm starting out.

He and I created an LLC for NC a few years ago when we were thinking of buying a rental property there.

I wouldn't consider buying real estate if I didn't have $160K cash in hand.

Groovy @Stephanie Medina good luck and keep us posted on your progress.These sorts of things are problems that no one really things about when buying a property and it is something that should be in their mind.

There are many reasons why I haven't pursued the arbitrage model, but mainly that it takes too long for the ROI after investing all your time and effort into buying furniture and renting and paying utilities.Let's say you rent an apartment for $1500 and you spend $7000 to furnished it.

If you buy in a prime location with desirable amenities, you’re setting yourself up for steady income and long-term growth.