What are the top 3 markets you would recommend investing in?

@Jakub Rauch as a 15 year, out-of-state investor, my recommendation is to ALWAYS choose whatever city you have the most trustworthy contacts in. That's the best market.  Keep in mind that you may never see your asset. That's an ENOURMOUS amount of trust/money to put into a stranger's hands. What I mean here is that if you know someone in a one city...but that city may not have as good as numbers as this "other" city...then stick with the city where you know people. One wrong move, one wrong contractor, one wrong vendor…will erase any "benefit" one city has over another. Your network is the most important piece for any potential returns when you invest out of state.  When I lived in NYC I couldn't invest there.  I had to invest out of state.  Now, I see your profile says NJ...I would do whatever I could to try to target a town that's within 1 hour of you.  Do everything you can to be local.  You have more control, you can screen your vendors, meet with other investors, etc.  Everything leans to trying everything you can to be local.  And if you cannot, then go with the city where have people you can trust.

Hope all of that makes sense.