Where In The World Or USA Do I Start?

Does it matter which market I buy houses in. My home town is in Fort Wayne Indiana, but that is not a "booming" place economically so real estate appreciates slower than other cities. I am open to buy and hold or looking to rehab and flip. I have been seeing advs on ebay for SW Florida and I live in California so I know what going one here, but want to invest where houses are cheaper. I have a friend in Austin Tx and that market looks like it has been slow maybe even depressed would you avoid a place like that to invest in? Can I make money in real estate investing anywhere in the country like the gurus tell you on late night? How do you choose where to buy? Thanks.