5 things you should consider when searching for the property.
1. Neighbourhood The neighbourhood in which you buy will determine the types of tenants you attract. If you buy near a university, Be aware that some towns try to discourage rental conversions by imposing exorbitant permit fees and piling on red tape.
2. Property Taxes Property taxes likely will vary widely across your target area, and you want to be aware of how much you'll be losing. High property taxes are not always a bad thing—in a great neighbourhood that attracts long-term tenants, for example, but there are unappealing locations that also have high taxes.
3. Schools Consider the quality of the local schools if you're dealing with family-sized homes. Although you will be mostly concerned about monthly cash flow, the overall value of your rental property comes into play when you eventually sell it. If there are no good schools nearby, it can affect the value of your investment.
4. Crime