A - Invest $100, add value to $120, market corrects to $100 in year 1, but you achieve an 8% return from cash flow and principal reduction.B - Invest $100, add value to $120, market remains as-is (or it takes longer to correct), you achieve target returns of 15-20%C - Invest $0, earn $0.Substitute appropriate figures...just trying to generate dialogue.It's hard to model things like a market correction or rising cap rates, get excited about lower returns, and make a purchase but idle cash and the war chest strategy (scenario C) can be costly relative to scenario A (except with an appreciation only/market timing strategy...let's ignore that one for simplicity).Many of us have analyzed and turned down a ridiculous number of deals and we see a lot of posts about waiting for a correction but the math seems to suggest otherwise if investors are adding enough value (and generating cash flow, using long-term debt, buying in solid locations, or investing for the very long-term).  

Help the borrowers, which helps the neighborhood, which helps the town, and the country as a whole. 

So what we had to do is to ask sellers fix the whole/crack first; upon that we could run another scanning to see any further issues.   

The whole concept behind real estate investment is to make money and stay rich doing it.

Your ultimate goal is to achieve maximum leverage and be owed enough money to justify taking her to small claims court.

Make sure they have a whole package of appliances you can use, you do not want to mix manufacturers in a high end home.

And once you actually get the property, it will also depends on how well you list it.Average is a good overall indicator for the whole market but i would not use that when doing my numbers.I have single family homes in the $1400/mo and i don't see them vacant at all and when old tenants moves out, we already have new tenants ready.On the other hand, properties over 2k/mo takes 1-2 months to rent out.To be on the safe side, i would do what banks typically do, and that is 20% vacancy rate..

Install will be a whole new HVAC system with new ducts etc...I am upgrading from a window air conditioning unit.

Yes, the BP community has given me a warm welcome with a plethora of valuable responses that I'm hoping I don't let go to waste :)I'm certainly not opposed to investing in a CA market, specifically the greater LA area given I've spent my whole life here, however, as you stated, the prices are a bit crazy right now, and I'm looking for greater COC returns which aren't readily attainable in most CA markets.

I would assume that most everyone here is at least familiar with Scott Trench's Set for Life, but if not, simply put it is broken into three different phases of achieving financial freedom.