this will yield a bunch of random markets all over the countrywhy not pick a market where you have some kind of advantage and focus all your energy on that? 

In other words, the cap rate becomes fairly meaningless upon transfer.Your job is to assess whether or not you can make a good profit after buying the asset at whatever the sale price is. 

So, the real estate broker/agent would have to inform the seller of the fair market value of their home, making it much more difficult to earn a profit larger than what a real estate commission would be.  

In my main area, fair priced units usually last under 15 days on the market long.

are you already fairly diversified? 

Make sure it's rent ready but not worth doing a bunch of upgrades.

@Tyler GilpinEach HUD office in every County publishes FMR ( Fair Market Rent ) reports each year.Just google Name of Counit HUD FMR and it should pop up.You might have to dig around to find it.Or call the local HUD office and they will point you in the right direction 

Get estimates for all repairs that are above fair wear and tear in advance. 

And that's fair since we know not everyone is honest about their listings.

Context matters, and there are steps you can take to protect yourself while still giving applicants a chance to prove their reliability.ALTHOUGH, still stay compliant with all of your states Fair housing laws, Always.