Current Cashflow: Start by understanding your current income and expenses—how much money you bring in compared to what you spend. This financial snapshot is crucial as it provides a clear picture of your spending habits and savings potential. Knowing your income and expenses is the foundation for building wealth, helping you identify areas where you can save more and allocate funds towards future investments.

Debt-to-Income Ratio (DTI): After you understand your current cashflow then you will have the information needed to calculate your DTI. Calculate your debt-to-income ratio to understand how much of your income goes toward debt payments. Lenders typically prefer a DTI of 43% or lower. Pay off existing debts and avoid taking on new ones to improve your ratio. 

Credit Score: Check your credit score and work on improving it if necessary. Aim for a score of 620 or higher to qualify for most mortgage loans. Pay down outstanding debts and ensure timely payments to boost your score.

Down Payment: Start saving for a down payment, typically 3.5% to 20% of the property's purchase price. Explore different financing options to determine the minimum down payment required for the type of property you want to buy.

Liquidity: Ensure you have enough liquid assets, such as savings or investments, to cover your down payment and closing costs. Maintain a cash reserve for unexpected expenses or vacancies that may arise after purchasing the property.

Budget: Create a detailed budget that includes all potential property expenses, from mortgage payments to maintenance costs. Factor in unexpected costs to ensure you can comfortably manage the property without financial strain.

Area: Research the area where you plan to invest. Understand the local market trends, property values, and rental demand. Focus on neighborhoods that offer the best potential for cash flow and long-term appreciation.

Team: Build a reliable team of professionals, including a real estate agent, lender, attorney, and contractor. Establishing strong relationships with these experts will help streamline the buying process and support your investment strategy.

Systems: Develop systems for managing your properties, such as rent collection, maintenance, and tenant communication. Consider using property management software to keep your operations organized and efficient. 

Diversify: Plan how to diversify your portfolio over time to mitigate risk. Explore different property types or markets to ensure a balanced portfolio that can weather market fluctuations.