Am I wasting time looking for a “perfect” market?

[Jackie Mcmorrow]

Hi BP! My name is Jackie and I’m looking for some guidance as I begin my real estate journey. I’ve read a few books/ listened to some podcasts on real estate investing and am ready to start analyzing deals but am stuck on which market to narrow in on. I can feel myself getting into analysis paralysis (in terms of market selection) and the last thing I want is to quit before I really even try.

Appreciate if anyone has thoughts on markets that generally fit the criteria below and I’ll take it from there! I’ve also included a short list of cities that seemingly fit what I’m looking for but am open to thoughts here as well. Worth mentioning, I live in NY and am leaning towards investing out of state, for lower property taxes and more landlord friendly laws.

What I’m looking for

- Buy and hold property

- Long term tenants (ideally vacant at purchase)

- Single family home

- Class B to A (likely B for more cash flow opportunity) neighborhood

- Opportunity to add value so am more than open to rehab

- Cash flow as primary focus

- An area with comparatively low risk of natural disaster

- Of course somewhere with growing population and jobs and less than average crime. Added bonus if a large corporation/ industry is investing in the area and or a city with confirmed infrastructure improvement plans

Cities I’ve found that seem to fit the mentioned criteria but appreciate thoughts/ guidance/ direction:

- Cincinnati, oh

- Columbus,oh (but seems like too hot a market?)

- Dallas/ Fort Worth, tx

- Charlotte, nc

- Toledo, oh

- San Antonio, tx

- Minneapolis, mn

[Russell Brazil]

Cash flow is opposite of low risk.

The amount of cash flow is the measurement of risk. It's called the risk premium. As risk rises, so does cash flow. As risk decreases, so does cash flow. 

Yield is a function of risk.