One thing you may consider with having an investment property built is looking for areas where you can improve on "builder grade" that will make an impact, but not break the bank. 

With the new home at 425k it will definitely make an impact on your ratio compared to your current payment.  

Keep in mind this house is in Southington, CT and is a B+ area (a very desirable area to live) which has a big impact on the rehab and the way it is structured.Draw 1Replace 1st floor gas furnaceInstall new gas furnace and ductwork for floor 2 Replace both hot water heatersPlumbing repairs/modifications: water lines, waste lines, & relocate washer/dryerElectrical repairs/modifications: relocate washer/dryerTotal Amount for Draw 1: $15,000Draw 2Remodel 2nd floor unitFramingPatch and PaintFlooring throughoutKitchen remodel: add cabinets, install granite countertops, backsplash, install appliancescomplete bathroom remodelInstall new light fixturesTotal Amount for Draw 2: $10,000Draw 3Install vinyl sidingPaint exterior trimgarage repairsfront porch/walkway repairslandscapingTotal Amount for Draw 3: $10,000Draw 4Remodel 1st floor unitpatch and paint interiorFlooring throughoutkitchen remodel: new cabinets, new countertops, backsplash, appliancesinstall new light fixturesTotal Amount for Draw 4: $10,000Total Budget = $45,000

The key is teaching tenants in such a way that they understand the impact that these loss prevention items can have on them...

I recall seeing an article about one of those places closing down here in the next few years, do you think it will have a negative impact on the rental market?

He asked me to bump his net about two thousand, which didn't really impact my numbers so I obliged and came back with a counteroffer and he signed it right away. 

Beyond that there are lots of other moving parts that can impact our decision (e.g. proximity to existing properties).Andy

So what are they, and how will they impact real estate investors and entrepreneurs?

When they demolished the house did they do it completely or did they leave the foundation and hookups in place.The reason is a builder can often avoid the high impact fees if they are able to build on a existing foundation and hookups which in my market place where I did some of these deals in was almost $30,000. 

Decent-quality undercabinet lights in the kitchen make a huge impact for little money, especially if you have nice cabinets and countertops.