Depending on investment goals, strategy and timeline some good metrics to help filter target markets can be; population growth, rent growth, job growth, income growth, job diversification.

Some metrics that can help filter out target markets are; population growth, job growth, income growth, job diversification and rent growth.

As you begin to evaluate out of state markets some good metrics to utilize can be; population growth, income growth, job growth, rent growth and job diversification.

But why not do a diversification exchange - sell one higher priced asset and use the proceeds to purchase two fixer uppers. 

Typically the best operators have minimums of 50k for syndications, the economies of scale and diversification that syndications offer (not to mention being able to finally get out from under the properties and live your life) syndications do offer quite a lot of benefits. 

Not only is it legal but diversification strategies would dictate it the prudent thing to do.

This is not diversification of your portfolio because you don't own anything.

As with all portfolios, diversification is the greatest bolster against general market risks so I would agree with not selling equity positions but still increasing exposure to real estate. 

As mentioned above, what are trends of population growth, job growth, income growth, job diversification and rent growth.

Higher returns mean more effort and/or more risk - fact.You’ll also need to look at multiple metrics such as cash on cash, IRR, size of down payment, capital efficiency, diversification.