Moving into better areas. Tired of the lower income hassles.

[Mike A.]

Ever since I finally sold our four complexes in a C/D area of New Haven County, I've been refocusing my efforts into better areas. I know the rents will not be be as strong, but I am hoping for better tenants and less BS from the lower income properties. I am also trying to get properties within 30 minutes of our office so we can manage them directly. I've relocated to Stamford, so I am trying to stay in Stamford, CT, Greenwich, CT, Norwalk, CT, Yonkers, NY, and New Rochelle, NY. It's hard to find good deals, but the one I am working on now is 1.9m and throws off 170k gross. I am hoping for a Freddie Mac SBL, and it should net around 5.5k after expenses.  The biggest way I am cutting costs is if they are in my area, I will manage directly, so no PM. That saves me nearly 20k a year in Stamford. I've sold Ansonia, New Haven and Hartford; but keeping the Bridgeport, CT properties. 

I've tried to management with our small team, but since they are in downtown Bridgeport, it's a struggle. One of our team members had a gun pulled on him, and I've had to stare down some groups too. The only difference was that I have a legal concealed carry in CT, but my other team members do not want the responsibility of a firearm. I was in the Army for a number of years, so Bridgeport is a cakewalk compared to Iraq. I could sell our Bridgeport properties, they've appreciated around 60%. However, even with the PM in place, they clear a decent profit most months (knock on wood).

What do you guys think? Do you keep any C/D area properties? Or, are they just not worth the headaches even though there's more profit in those units? Or, do you strictly stick with A/B areas?