One thing to consider is PM options and being limited to who you can use and how they market the property.

In most markets that's closer to "A" room paint with trip charges.

Also, appraisals are valuations at a point in time, and commercial markets can change rapidly.  

After you look into markets that can cash flow at the 7.5-8% rate. 

Quote from @Elliot Juarez: The city is expensive, but the are smaller markets that make good sense.

If this is your first step into real estate, I would suggest finding a home that needs minimal work and is in a good rental market.

Where I lived in Western Ohio the housing market has been in Recession or Recovery for 30 years with no end in sight.

Pittsburgh is a great market to get started investing in.

I'm absolutely thrilled with this cash-on-cash rate of return (approximately 24%).My main takeaway is this: while the BRRRR strategy can work in certain situations and markets, it's not nearly as easy as many so-called gurus suggest.

There was a time when to be competitive in this market your best option would have been to pay cash, but with current market conditions I do not think that is necessary.