@Yoni Kaszynski, with a co-signer what I focus on is whether they are "collectible".

If I were starting over as an out-of-state investor, I’d focus on building a strong network from day one—especially a great agent, property manager, and contractor.

Since I focus on cash flow, I already have the benefits afforded to real estate.

If you’re looking to finance a rental purchase, a DSCR loan could be an option, as it focuses more on the property's income rather than your personal credit score.In the meantime, you can get your current property rent ready while also working on improving your credit.

I think the right investor would do 2 units long term one unit short term. this strategy allows you the greatest flexibility. we are also developing an extended stay hotel that's 58 rooms. the size of the average room in that is 216 square feet and rents for a target $80 per night. our development cost per room is 100k per room with hard construction. the smaller you go the more money you make. if I was to suggest anything it would be to focus on the smaller part of the market and on multiple unit dwellings and finding and identifying markets that meet similar numbers. that will probably be midwest markets.

Engage an investor-focused realtor/broker in your preferred market (this is not a residential realtor) and start 'tire kicking' the market and properties that fit your criteria.

However, after dealing with the constant headaches of repairs, complaints, and other issues, I made the decision to shift my focus to larger commercial deals in partnership with others.I have co-founded a coinvesting club, allowing me to diversify my investments across multiple deals.

Focus on absentee owners and start with the ones who live the farthest away and only own one property in the area since they have the least use for the property.You can also drive for dollars, looking for anomalies of disrepair and then look them up in the tax records and use a site like Spokeo to do cheap skip tracing.

Also, focus on 2 years of job/income stability.Class D Properties:Cashflow vs Appreciation: Typically, all cashflow with little, maybe even negative, relative rent & value appreciationVacancy Est: 20%+ should be used to cover nonpayment, evictions & damages.Tenant Pool: majority will have FICO scores under 560 (almost 30% probability of default), little to no good tradelines, lots of collections & chargeoffs, recent evictions.

:)  Great markets to focus on!