Making a play in Oakland

[Tom Makinen]

I have been searching for markets outside of my home area, but what is everyone's thought on making a play in Oakland.  On the south/east side of Oakland, there are these old homes going for around 350-425K.  Yes they will need to be rehabbed and they are in sketchy areas, but they can easily come back in at 500-550K after a 20-40K reno.  It seems like another alternate play rather than earning $200/month on some other markets.  Also at a fallback, these homes can easily rent for $3K.