It is all dependent on the numbers.If you are planning on putting low money down, the odds of it cash flowing (or even breaking even) in the first year would be difficult. 

I'd rather do one locally, but I live in California, and I think it would be very easy to lose a lot of money quickly in a rehab deal, especially here in California where everything seems to need a new foundation.

@Mike FarrIf you are going to spend 100's of thousands of dollars on an investment property it's definitely worth spending a few hundred dollars to make sure the title isn't clouded and you get clear and marketable title at closing.

In your example, the ARR calculation suggests a positive return of 12.5%, but in reality, the investment suffered a loss of $50 over the two years.

Investment Info:Small multi-family (2-4 units) buy & hold investment.

@Delmar Marsh JrAs you begin your investing career I would suggest using this website to get a general idea of the area you are looking to invest in. https://www.areavibes.com/Its a great starting point and gives you a whole list of data that you can look through. 

Investment Info:Single-family residence buy & hold investment.

Investment Info:Single-family residence buy & hold investment.

Investment Info:Single-family residence fix & flip investment.

Investment Info:Condo buy & hold investment.