Their market is too expensive and competitive, so they’re sort of stuck in a holding pattern, waiting to see what happens.They are possibly even envious of others who are still investing in more affordable markets.I know I was.

Thanks for the advise , I have never done an out of state investment but virginia housing market is so competitive that I might start looking! 

Regarding location, I think a lot depends on your access to capital and where you have some kind of competitive advantage. 

Generally speaking, most agents I deal with today complain about limited inventory for their buyers to choose from, overbiddings (high competition), and lack of support system to assist them in increasing sales.

What sets a lender you'll work with again and again from the competition?

@Kyle Glasgow one thing to do is look at your competition.

It's also, as you note, more competitive and supply of Class A multi family downtown is high. 

If your market it highly competitive, you don't want to put all your resources mailing to just Absentee Owners.Two owner occupied segments have had success - without being over-popular yetSeniors with Long-Time Ownership - 15-20+ year ownership, age 60-89, specify median home values and eliminate known low equityOwners with Low Financial Stability Scores (FSS) - Struggling financially, 5* year ownership, age 40-89, eliminate known low equity, and specify median home value.Your list broker can run reports for you and most will charge the same $ as the online systems like ListAbility or Listsource.

OMB destroys the local competition at 85% LTV, and SOMETIMES 25yr am depending on what you're buying.

It's like going to the gym or working out, if you have someone to work with your chances of sticking to it and motivating or having healthy competition increase and so your performance should be better.