Cheaper Homes or Better Neighborhoods

[Joseph S.]

My wife and I are new to the RE space and looking to purchase our first home. We live in Columbus, GA and are wanting to begin our journey locally. After performing a market analysis of the area we have determined that is is possible to create a portfolio that will generate long term wealth by increasing our net worth over time. We do not NEED the money and we will be putting all profits back into the home. Our strategy is to purchase Buy and Hold properties that require minimal repairs. Essentially turnkey properties. We want to provide Section 8 homes for families that are truly trying to improve their situation; however, we are struggling with which neighborhoods to buy in. Is it to much of a risk to buy in low income neighborhoods or is it better to wait and buy a more expensive home with less return in a better neighborhood? One thing to note about Columbus, GA is that there is not much appreciation in this area and we don't figure that into our numbers. We use ROI and ROE to determine our returns. Thank you in advance for the help.