Phoenix contains a rare combination of elements that have created an outstanding market for distressed property investments, including the following:Cost Savings: Distressed properties are sold below their market value and enable investors to take hold of properties at a trifle compared to traditionally listed properties.Strong Market Fundamentals: Being among the fastest-growing cities in the country, Phoenix ensures a high demand in housing and rentals, hence good potential for resale or income from rentals.Value Creation Opportunities: Most distressed properties need renovations; thus, such situations present opportunities for investors to increase equity by adding value.Population and Economic Growth: Phoenix remains among those cities in the country which are attracting more and more residents and business; therefore, this presents good, long-term appreciation possibilities of property appreciation and income creation.Challenges to ConsiderWhile the rewards can be great, distressed property investment is not without its challenges.

Now, I am an economics and finance major (I find it funny saying that since it's been 30 years) but economics are ingrained in me so I am a firm believer in supply and demand economics.  

In terms of low competition, unless you are buying in the most rural or economically distressed area, there is always competition.

The economic investment being made there with Semiconductor chip factories was one of the driving decisions of my investment purchase.

But, these broad market studies are so large, they are almost meaningless, in the real world.Between glut of new supply in many "hot" markets coming online, a continually softening economic outlook, inflation over last couple years making day to day items feel cost prohibitive, many average renters are strapped and seeking lower cost housing.  

Nope......i heard of it on a podcast though.i actually have studied banking and economics for the last year and a half.

Investors can't predict the FED, economic outlook, and future rates cuts (100% correct) so it's sort of a bet you think rates won't come down (free refinance opportunity). 

Rental market is pretty strong, there are a lot of good economic drivers.

Heck no, it will drive UP prices, and economic activity. 

Economic pressures forcing landlords to adjust rental prices to attract tenants.For renters, this means more flexibility and savings, especially in historically competitive areas.