A lot of this may depend on your liquid position, ability to access data for the markets you're seeking to invest in, and the type of support you can have in any particular market.I can tell you TX is old faithful and you can get into deals with less out of pocket, but there is high competition and your margins may be lower than say GA.

I know since being in southern California I haven't see any, because there's just too much competition for fixer type properties.

. :-(  They have a lot of options and with that much competition, prices get driven up above my max allowable price.

Minneapolis is a competitive place with a small number of wholesalers.

And the most important thing - manage costs - do the rehab cheaper than the next guy who uses a General Contractor or Angie's List for every single item.Also, don't put granite or Trane HVAC or Subzero appliances in a rental that you want to be competitive in any economy.

If you have a rental with window units and a competitor with central air, you are going to lose that tenant to the competition 100% of the time.

He also explained how he would approach the deal so it was some really great insight.Smaller towns can be a challenge but there is also much less competition.

Your projection is surely on target, growth fuels cost of living, and for investors that means rental stability (to an extent i would say, area dependent).but with that comes competition as an investor.

.@ Justin - Lol, you know I wish I am convinced to buy just because I see the competition on other side of the wall.

I've been following some of the forums and it is so encouraging to see all you folks being so thoughtful and helpful.I can't think of another business where the your competition is your biggest ally.I Love It!