Beginning your investing in a lower income city and moving?

[Account Closed]

Prices in my city (Colorado Springs, CO) are extremely high. Here is what the average rent looks like according to apartmentguide.com:

• 1 bedroom: $1233
• 2 bedrooms: $1441
• 3 bedrooms: $1847

That being said I can't find even a duplex for under $300,000. I plugged one of these (https://goo.gl/aMtM7K) into the rental analysis calculator here and it would require a $73,000 down payment. Something will be pretty unobtainable for me starting out. So that being said, my question is this.

There is a city south of me called Pueblo, CO, according to the same site rent looks like this:

• 1 bedroom: $650
• 2 bedrooms: $765
• 3 bedrooms: $963

Would it be worth it to start off living there and invest in Pueblo with the eventual goal of selling my Pueblo properties and buying a few in Colorado Springs? Would it be wise to stay down there? Or not even start there at all and just focus on Colorado Springs? Am I looking at this in the wrong way?

Thanks!

[Jason Eberhardt]

sorry i am late to this post. 

and i must say i mostly agree with @Robert Herrera and what you can make here in Pueblo vs the rest of of CO, i am not trying to start a fight, but it dose seem like @Bill S. takes every chance to bash Pueblo. Pueblo has its problems there is no question about that. but i believe we can come back to a great city again, it would help if we could get our brothers and sisters to the north of us to stop looking down there noses, and start looking at what is good for Pueblo is good for CO. 

did you know there are plans to start the building of a new rail mill in Pueblo for $750 mil that is 3 to 4 years of jobs for contractors. 

i have worked full time in both Springs and Denver and anyone that says they dont have the low income areas like Pueblo are kidding themselves. 

City to City and State to State, this is truth, you get what you pay for. you want high cash flow buy in low income areas you want stable renters with out that great cash flow buy in batter ares. and yes Pueblo as them both.