What will determine this project is if you have lots of reserves.

Hello Mike,In order to determine if your home town is the right place to invest, I would recommend first defining your investment goals and criteria.

@Troy DeLong The grand total loan will be determined based on a couple different formulas -- the Lender will take the lesser of the two figures. 1. 75% of the ARV ($200K x .75) = $150KOR2. 80% of the Purchase Price + Rehab Cost ($146K + 40K x .80) = $148KIn this example, the grand total loan amount allotted would be $148K (lesser of the two).The Lender would set aside your rehab budget in a 3rd party Escrow account, amounting to around $30K.

Working with a strong lender/realtor team who can determine whether a property is appropriate for a VA loan, and then convince the listing agent of your qualifications, and that the loan will close smoothly and on time, is about all you can do.

How are you determining if a property is worth investing in?

You are going to want to identify the various different RE investing strategies and determine what strategy will best fit your skillset/goals. https://www.biggerpockets.com/forums/850/topics/895660-my-first-investment-property-an-out-of-state-dealBest Wishes!

I created a calculation to determine whether the deal was worth pursuing, based on the list price versus the expected rental income. 

@Red Johnston You have to determine is it a foreclosure or a bank owned property?

This helps you in determining when the lease expires, what their actual lease is and what is exactly included and not included in the lease agreements.

I first jumped on the local forms on BiggerPockets to determine the best areas to live.