2 bedroom 1 bath

[Jeff Trayer]

I'm trying to get started in the rental business.  I know that the best homes would be 3/2/2.  However, I'm seeing some possible good deals on 2/1/1.  These homes will need less rehab, have much lower taxes and insurance cost.  I'm thinking surely there are plenty of single people and couples not raising a family.  I would appreciate your opinions.

Jeff, Tulsa

[Ryan Dossey]

This depends solely for me on the neighborhood you are in. What demographic are you catering to? Working professionals? College students? Families with kids? 

If you are in a blue collar area with less than ideal schools you will find that 2/1's are very common. They rent quickly/easily. While I personally prefer a 3/1. However like others have said these properties that are 2/1 can be bought at HEAVY discounts. So what are your goals and long term plans? Are you looking to get in cheap and cashflow heavily? Or are you hoping to cashflow with appreciation. The area where I own a 2/1 homes simply don't appreciate. It will be worth what I bought it for 10 years from now.