I think that strategy would be better in a neutral or buyer's market, not a seller's market.

House #1 basically neutral in terms of cast flow when you consider any real maintenance/capex allowance but we had/have an excellent tenant in place who has a signed lease well into 2017.  

Let's assume that you purchase a cash neutral place which for a first timer in San Diego would not be bad.

@Nigel Swadel Yea the numbers in Auckland are nowhere near what everyone talks about on BP.Though as soon as I start looking in Hamilton or Rotorua it gets a lot closer.Maybe thats the trick.Keep us updated on what you find in Palmy - because my current strategy is to try and stay as cashflow neutral as possible.

Yes, there will be challenges, but, you should be able to react to them and try to neutralize it or seek professional help in getting the problem resolved.Don't be overcome or paralyzed by fear and as FDR rightly said "The only thing we have to fear is fear itself"Now that you have made the move, below are some links that will help with the navigation of the site. http://www.biggerpockets.com/startherehttp://www.biggerpockets.com/meethttps://www.biggerpockets.com/alertsHow to Use @Mentions on BiggerPocketshttps://www.biggerpockets.com/ruleshttps://www.biggerpockets.com/termshttps://www.biggerpockets.com/inviteshttps://www.biggerpockets.com/perkshttps://www.biggerpockets.com/forums/categorieshttps://www.biggerpockets.com/courses/a-beginners-introduction-to-real-estate-investing (video courses)https://www.biggerpockets.com/real-estate-investing (Ultimate beginner's guide to REI)Before your 1st purchase, please ensure you visit the below link for some tips.https://www.biggerpockets.com/renewsblog/2014/12/19/real-estate-investing-success-smart-tips/REI books suggested by BPershttps://www.biggerpockets.com/renewsblog/2015/11/13/7-real-estate-books-beginner-investors/ (7 absolute must read books for beginner REIs)http://www.biggerpockets.com/renewsblog/2013/04/14/best-real-estate-books/?

Just clean it and get cans of kilns that will put a neutral look on the walls.

They work wonders on neutralizing tough odors like pets and smoke.  

Others top players in the market are Real-Crowd and LendingHome.Would love to hear feedback from neutral others on what they think are the +'s and -'s of each of the above names (but if you're affiliated with any of the above, please stay away!)

So while inventory has climbed to 4.4 months, it is still well below the 6 month threshold for what is considered a balanced or neutral market.

I'm not sure if I should proceed with doing a formal inspection (wondering if it's hard to ask opinions of family members and would be better to have a neutral party walk it) or what.