Is Cleveland as good as it seems?

[Chase Webster]

I've been receiving emails from Holton-Wise for the past few weeks, and it seems like there are some pretty good deals that may cash flow around 2-300 bucks per month with decent cap rates (10-12%). Couple questions though.

1) I am seeing properties that cost around $60K that will produce gross rental income of $1-1.4K per month. Is this realistic or are these inflated rents? Would this indicate a property needing a lot of rehab or cap ex? Generally, are these prices/rents in decent neighborhoods?

2) Is Holton-Wise actually a decent property management company or not? I looked at their BBB rating and it is not great. Are they just a turn-key scam company? If not, I see they will do some rehab. Does anyone know how this works? Would they be a good option for an out of town investor? Do you know what percentage they charge? Any other property management companies you would recommend? Same questions as above for other companies. I am looking to build a team in Cleveland (I'm out of town).

3) What is the biggest pitfall in Cleveland? 

4) What areas should I avoid?

5) Are there any specific locations I should look in? Great streets / neighborhoods?

I appreciate the help? Hopefully I'll be able to network with some of you moving forward.