1. Buy in an area that has the potential of prices going up.
2. Make sure you get all the inspections: property, roof, pest, fireplace, title report, appraisal,etc.
3. Buy in an area that is easy to rent out. IE: near freeways, transportation, shopping, schools, etc.
4. Determine rental value in the area and rental competition-how many other rentals are available
5. Buy a property that is reasonable condition unless you like fixer uppers.
6. Determine your cash flow position with your accountant. Income/expenses, tax benefits.
7. Check with city about rental laws, licenses, permits.
8. Talk to other property owners in the area.
Jul 26, 2013