New to investing looking in Detroit HELP!!

[Derrick Harper]

Hello me and my wife just started an investment company we are looking to invest in a few properties in Detroit, MI. However, we live in Atlanta, GA. I do have friends that live in Detroit and have friends that live here that are from Detroit.  What are the possibilities of becoming a landlord in Detroit while living in Atlanta and what do I need to be aware of?  Any and all criticism and advice is appreciated.  FYI: we have about $20,000 and we are looking at fixer upper properties in the $2,500-$5,000 range. 

[Travis Biziorek]

Originally posted by @Derrick Harper:

Hello me and my wife just started an investment company we are looking to invest in a few properties in Detroit, MI. However, we live in Atlanta, GA. I do have friends that live in Detroit and have friends that live here that are from Detroit.  What are the possibilities of becoming a landlord in Detroit while living in Atlanta and what do I need to be aware of?  Any and all criticism and advice is appreciated.  FYI: we have about $20,000 and we are looking at fixer upper properties in the $2,500-$5,000 range. 

 Hey Derrick, this is suicide. What @Greg Scott said is absolutely correct. 

You have to understand that Detroit has had these $2,500 houses for sale for YEARS. Anything worth buying has been purchased long ago. Anything left is not in an area you'd want to own or would take far more than $20,000 to bring back to life. 

Do not throw your money away.

I do believe there's something in between. You can buy a $45k -$60k home in a decent area on a conventional loan, use your remaining cash to do a light rehab, and do well with it. But you're going to really have to do your research and likely visit. Detroit isn't a hands off market.

My advice would be to continue saving and look to invest more locally, especially if you're just getting started.