1. Will your rental have a positive cash flow.
2. Does your new rental property in an area has a potential appreciation?
If you have both, it is a buy. You are buying a property for investment, not flipping. I will not worry about the price based on what so called expert saying. At this point, it is a seller's market. The reason being is for the past 8 years, we have not built enough housing for population growth because most of us including developers were scared by 2008 crisis. Now we have this ok economy and the housing demand is there, but not enough houses. That is why you are seeing the prices going up.