We also have pretty high property tax bills (around 2% of the purchase price/property value) that eat into a lot of the rental income. 

No need for tax returns, Verification of Employment, or income.

Look for properties with low taxes, separate utilities, strong demand, and potential for rent increases.

I get people calling crying they want to sell their lot they bought for $50,000 and I tell them they're lucky to get resale at $5,000...then of course they don't want to sell....but if they don't sell they're paying $1000 year plus property taxes for a lot that likely won't go up in value for years.So think about your exit strategy. 

Include an exit strategy, tax planning, and insurance to protect both parties.

You may need to register as a foreign entity, file a tax return, and pay taxes in PA.

They sold two appreciated duplexes in Dallas and we turned them into 8 units in Mesa, AZ with higher cash-flow, and much closer proximity to Southern California.I'll add to your Phoenix "pros" list:1) Landlord friendly rental rules2) Easy evictions in < 30 days3) Rents are rising faster (on a % basis) than many other metro areas4) Low property taxes (and the property taxes don't sky rocket after a purchase as they do in CA)5) Very low vacancy and extremely high tenant demand.

This is a post-closing penalty charged by the Escrow Administrator to extend the renovation period beyond the maximum renovation term of 180 days in the event renovation is not completed within agreed upon terms.

The state’s housing is also ranked as the fourth most affordable in the country.Alabama currently has the second-lowest average property tax rate in the country at 0.4%, which helps investors keep more of the money they earn.

I know California is still famous for clawing back the taxes owed eventually on a 1031, I don’t know if they are the only state that does it.