Plus, you already know the market, which gives you an edge.

@Linda PhamAll our midterm rentals are in Colorado as are our clients, so I don't know Houston's market.

In fact, just finished one that I have yet to put on the market. 

Market Demand: Buyers love move-in-ready homes, and flips are often the most attractive properties on the market.

No one has a "crystal ball" to time the market perfectly. 

However, the property’s cost basis (what they originally paid) carries over to you, meaning if you later sell, you may owe significant capital gains tax on appreciation.Alternatively, selling the property at fair market value eliminates gift tax concerns, but your in-laws may owe capital gains tax on any profit.

It is not that good at the price point of DC or in my market (but better than my market).  

. $40-$50k out of pocket, HELOC or private money loan for the remaining $20-$30k 

The key for me wasn't to invest in the 'best place' but to know a market so well that a deal jumps off the page when it appears.

Fortunately for me, I started investing a time in the market where everything went up.