@Chase Calhoun mainly we work with local builders but we have also purchased from the regional builders as well.

I have never purchased anything 'perfect' but all of my rentals could have been rented as they were upon purchasing them. 

Hi Delroy,Congrats on your 2-flat purchase—exciting times ahead!

Purchase price: $1,200,000 This is a 100+ pad community located near Downtown Bloomington (Near Indiana University).

Purchase price: $1,200,000 This is a 100+ pad community located near Downtown Bloomington (Near Indiana University).

I started with a house hack then purchased my own rentals/BRRRRs and now I own a successful 7-figure rental portfolio.

Purchase price: $1,200,000 This is a 100+ pad community located near Downtown Bloomington (Near Indiana University).

A home equity loan seems like a possible way to expand my portfolio, would consider buying a multifamily and renting out our current home to live in one of the units and purchase it as a primary home (assuming its 4 units or less), but being in the Santa Cruz CA area, I am afraid I'll need to look outside of CA for any deal that makes sense, and can't afford to lose my great job (can't work remotely).  

@Ming Huang Based on the numbers you've shared, I would advise against the deal, unless you can negotiate the purchase price down and/or rent it for at least $1,150.

-------------------------------------------------------------------Recommend you first figure out the property Class you want to invest in, THEN figure out the corresponding location to invest in.Property Class will typically dictate the Class of tenant you get, which greatly IMPACTS rental income stability and property maintenance/damage by tenants.If you apply Class A assumptions to a Class B or C purchase, your expectations won’t be met and it may be a financial disaster.If you buy/renovate a property in Class D area to Class A standards, what quality of tenant will you get?