Looking to build a 3 or 4 unit multi-family project in Menifee, CA in Riverside County.

I’m in the Peoria area also and have an identical background to yours, except I was with Palm Springs PD in California then moved out here to get into corporate security with CAT.

I ask these questions because buying $1 million in rental real estate could mean you own one medium size commercial property, a few residential units in California, or a small empire of mid-west Class C units. 

However, what I noticed that at least in CA it very straight forward and can be DIY in $100-150.

I've heard Delaware because it's inexpensive to file and the taxes are lower, but I've also gotten the advice to just house it where I live (California).

I've heard Delaware because it's inexpensive to file and the taxes are lower, but I've also gotten the advice to just house it where I live (California).

I've heard Delaware because it's inexpensive to file and the taxes are lower, but I've also gotten the advice to just house it where I live (California).

I'm looking to 1031 my CA house, re-leverage, and invest elsewhere, and I've identified Charlotte/Raleigh/surrounding areas as really interesting.I'll be looking to purchase an apartment building/complex. 

Either way, it's more affordable than King Co.

Below is a snippet from cap rate survey showing that class A properties always command lower cap rates (i.e. not higher): City State Property Class Multifamily New York New York A 2.52 New York New York B 5.06 New York New York C 6.70 Los Angeles California A 2.62 Los Angeles California B 5.75 Los Angeles California C 7.31 Chicago Illinois A 4.31 Chicago Illinois B 6.08 Chicago Illinois C 9.07 Houston Texas A 5.23 Houston Texas B 7.26 Houston Texas C 8.09 I do agree that cap rate is driven by supply and demand and long term trend of interest rate.