If you're set on investing out of state, I'd recommend reading this article by David Greene for starters: https://www.biggerpockets.com/blog/core-four-real-estate-tea...If possible, it's a good idea to visit the market you plan to invest in to familiarize yourself with the area and it's also a good way to network.

Network with investor-friendly real estate agents is a great start to building your core team.

Exactly as with Forest Brook the new residents of Harrell Hills are keeping the "existing core" of the 1950's and 60's house and doing renovations which cost more than they paid for the home.  

However, I think even these returns will get eaten up as more investors jump in and good operators demand more upside for themselves. something like MLG is conservative core based syndication.For me conservative syndication just means they have integrated business including integrated property management and integrated in-house repair department.i am running away from 3 4 guys running syndication that hire outside PM and repair maintenance guy. 

Raising equity, learning to become a property manager and fund manager simultaneously, and balancing the risk between asset allocation, core returns, and density of portfolio. 

Usually fully stabilized, institutional class, in core markets, with very low leverage. 

Both are becoming very accessible in terms of transportation and sought after as people not able to afford the prices in the core cities.

Thanks Maria,The core issue I was trying to get at is that properties in the Bay Area generally don't cash flow well (as opposed to other markets, e.g., the Midwest).Given the cost of owning a property here, is it net-net better to just rent, or buy a multi-family and live in 1 unit (i.e., house-hack)?

So in New York the pharmacy could be 12 million in urban core versus 6 million in Austin, Texas.

@Ryan A Shumaker, a lot will also depend on the nature of the project and market.Is it a value-add, core plus, core, etc.Often people confuse the preferred return for cash distributions during the hold period (which may or may not be the case) and I always try to clarify that for the newer investors to set the proper expectations.