. - Don't mind commuting - Some of the more popular suburbs like Naperville require a 1 hour train ride to your office. - Weather - Having lived in both Dallas and Chicago I can tell you that the weather conditions in Chicago can range from abysmal to armageddon in the winter.  

_r=1&Deciding between Charlotte and Philadelphia was challenging, but this is how I did it: Step 9: I pulled high level statistics from Trulia, the census bureau, and the Bureau of Labor Statistics (college educated percentage, commuter percentages, house hold income, median age, home owners percentage, marital status, crime, 1900 to present population growth, 10 year jobs growth rates).Charlotte won out on household income, less crime, population growth, jobs growth and more college educated peoplePhiladelphia had more renters, less driving to commute, more single peopleI also pulled approximate rents and median home prices by neighborhood and Philadelphia won on better cap ratesStep 10: My final decision: Philadelphia Philadelphia is also closer to NYC (2 hour train ride), has improving demographic trends (gentrification), more affordable for my budget, stronger rents, and larger urban center with more investment options (SFR and MFR)There are obviously downsides such as older buildings, higher crime rates, historical population growth issues We can debate the merits of one city over another, but eventually one has to get off the proverbial pot and make a decision.

My hobbies include Computers (gaming/programming), reptile husbandry, riding motorcycles and driving 4x4s.  

I have met some very knowledgeable and interesting people through BiggerPockets and I would like to meet other real estate investors from Los Angeles area, may it be for a lunch, coffee or a ride along. 

LOLWhen I was trying to find a house to buy or I was selling a house, I used the good ole fashioned news paper.

It is quite the ride.

@Jason Va,My understanding:Rent to Own: you are signing a rental agreement with an option to buy in some form or fashion and most likely the money you are paying for rent does nothing for lowering the principle because you have not bought it.Owner Financing: You purchase the property from the owner and they hold the mortgage.

Am looking for any meetups near San Jose side to meet Real estate investors and get connected with them to be successful in this fun ride!

Generally, like @Timothy Church touched on, depreciation is supposed to be recognized in a fashion that is in line with the asset's "use".

If you buy in a neighborhood with poor supply and demand fundamentals and no history of appreciation and hope that the neighborhood will turn the corner and start appreciating at a rapid clip the day after you close escrow, then yeah, that is speculative for  sure.Also, don't forget about forced appreciation ... this happens in the short term and does not depend on the market to produce it ... study how flippers make money to understand this ... you don't need to be a flipper either, you can buy, fix, and hold in a similar fashion.