Not because it might be mispriced, or the area isn't seeing that much demand anymore, or any other reason - but because that will come into play when the bank does an appraisal on your property. 

In these areas, you will generally not cash flow that well for the first few years, but years later (like me now), I can retire off the profit that I make from these same properties.Ultimately, this is how I chose to play the game and it is not the perfect game for everyone.  

A rental is a long term play. 

Or if you can get into entitlements that is a value add play as well.

I was targeting a 20/80 GP/LP with a 12-13% IRR with a 2 hurdles +14% IRR GP/LP goes to 30/70 +15.5% IRR GP/LP goes to 40/60.These will be usually 25 to 50 unit infill multifamily deals usually townhomes or apartments I would love the feedback  We have seen projected returns all over the place, as the factor that comes into play is the risk.

Hey Folks, Hope the new year is playing out very well for you.

This is where your costs will come into play.  

Frankly, even local: the last 3 properties I bought were all in close to move-in-ready condition, because currently, I can't get enough discount on a property in a desirable area to pay for the necessary repairs and upgrades.The radical solution: move to Cincinnati, even the playing field and become a local investor.

I was just sitting down bored and playing with my BP profile. 

They need to tell people this is a full time job and create a truly "plug and play" system like they claim that only requires a few hours of work per week.