Buying and Holding in Low Income Neighborhoods South Florida

[Troy Norwood]

Hello BP Fam!

Let's say I would like to buy and hold properties here in the Ft. Myers area that are in low income neighborhoods. Why do I think I want to do this? Please tell me if I'm wrong... I am hoping to owner finance discounted properties that are clearly unwanted (abandoned or otherwise). I figure that it might be "easier" to get into these properties as they are not generating any income and are only accruing expenses for someone. I imagine that there will be no shortage of tenants in lower income working class neighborhoods that are close to jobs and schools. I don't mind buying a house that might need roof work, minor plumbing/electrical, drywall and paint. I know I can buy these properties at a discount and hopefully have them cash flowing fairly quick. I also know that a bank will not lend on these types of properties (in most scenarios) and why I was planning on focusing on owner finance. Apologies for the long post, but one important question I have is... 

If I properly vet a tenant and have a good screening process in place, is it a wise to invest in lower income neighborhoods? 

Something else that I've always wondered. I realize that Florida isn't really landlord friendly when it comes to rental properties. What is the maximum amount of time a tenant can occupy a property that they aren't paying rent for? Can you not write something legally into lease agreement terms that states the tenant must vacate a property after 30 days past due?

Have great day and good luck out there!!