There are 3 important aspects of a property you need to evaluate… These are the same for almost every investment property.  

Physical Characteristics

The first aspect of a property is its physical characteristics.  This includes things like:

• square footage
• number of units/rooms/bathrooms/etc.
• amenities (stainless steel appliances, gym, pool, etc)
• architecture
• class of property
• property condition
• location, etc.

 
The size, characteristics, and location will determine who wants to be your tenant, how much they’re willing to pay, what kind of appreciation you’ll be able to get.  When you’re assessing a property you want to consider all of these characteristics and what it means for your rental price.  

You will also want to assess how you could improve the property to its highest and best use or to get the highest and best rents.  Sometimes the best investment property is one that is not in the best shape when you buy it but can be relatively easily improved to get great ren...