The rents are relatively low, appreciation has stagnated, lack of economic vibrance, and diversity of economy.

First, look at out-of-state markets with good rents, strong economies, and room to grow.

What makes Indy a good market to invest is that it has strong economic and demographic fundamentals, modern diverse economy and is very landlord friendly.

Shortage of inventory and stable economy seem to be continuing so still relatively confident in the future.

Strong Long Term Trends: The shift to the experience economy continues.  

Whatever happen in the economy, home price is only going up and up 10.

It's a fine balance between economy and what you would do for oneself, but creating a space that feels like home should be of primary focus.If you're looking for some insight into re-leveraging any investment properties for capital improvements, furnishings, etc, some lenders can utilize AirDnA projections to qualify. 

if you can build at 50% of after value I'd hire you and I build the cheapest of anyone I know in our market and minimum rates. there's 3 builders that build at our rate. only place I can get us to 50% equity is in miami florida and that is new construction that is selling at $1000 per square foot and up and high density 300+ unit underwriting with incredible economies of scale. columbus has lower construction costs but lower exit. we focus on urban core. my best suggestion is look at urban not suburban for higher valuations. you can't control what new construction appraises at so do it in less risky areas. 

I'd invest in those fast growing counties, and the economy, job growth and population growth will push up many of the properties in those areas. 

I'd recommend researching areas to see that they have:- Low unemployment- High demand for housing - relatively low inventory- local job creation/booming local economy- high avg/median income- increasing population- low average days-on-market (DOM)- history of rent and property value increases YOY- low crime- highly-rated schools (or above average)I'd compare the target neighborhood to surrounding neighborhoods and/or nearest metro areas.