Favorite 2% Market?

[Zach Adams]

Starting my search for $100k or less properties that adhere to 2% rule.  Here's a list of  areas where I speculate could meet this criteria:

Indianapolis, Cincy, Cleveland, St Louis, Tulsa, Grand Rapids, Milwaukee, Pittsburgh, Philly(?), Chattanooga, Birmingham.

Thoughts? Additions or subtractions?

Thanks!
Zach 

[Nate Garrett]

@Chris Simmons

Depends on how much below 100k he's willing to go haha. Good luck finding someone to manage them, though.

@Zach Adams

I would be very careful using a 2% or any kind of % rule to screen properties. Just because a property rents for 2% doesn't mean your returns will be any higher. It's important to evaluate income and projected expenses and capex in your evaluation. Can't tell you how many times I've spoken with investors that regret buying that $30,000 house that rents for $650 / mo.

I know a few investors that specialize and have done well with that type of property. They self-manage, are local, are very handy, and deal with a ton of problems on a daily basis. 

If you aren't local, you will likely pay a hefty price for someone to deal properly with those headaches, thus eating up most of the supposed extra return from a "2%" property.