Vincennes, Indiana Rental Properties

[Andrew Hahn]

I'm not entirely sure if this is the proper subforum, but I was wondering if anyone is investing in Vincennes, Indiana. It has a couple things going for it, and some things not. 

Positives: 

-Vincennes University: The school runs undergraduate enrollment of about 18,000. 

-The rents seem decent for a small town ($500-600 per unit). 

-The real estate is cheap. 

-The population ebbs and flows, but it seems pretty stable at around 18,000 residents. 

-Indiana law is relatively favorable to landlords. 

Negatives: 

-Lower median income at 34,641. 

-The market is flooded with low price houses. 

-Difficult exit strategies due to the rural location. 

Even if you are not in Vincennes, has anyone else had success in a similar market? 

As for some specific deals: 

House #1: Just outside of city limits

Asking Price: $25,000

ARV: $60,000-70,000

Rehab costs to flip: $15,000

Rehab costs to rent: $10,000

Estimated rent: $600 

3/2 1392 sq feet

Apartment Building #1

Current rent per unit: $450 

Units: 12

Asking Price: $495,000

Built: 1977

Alleged operating income: $49,500 

I have not received any rent rolls, income statements, etc. at this time. I am hoping the cliff notes version will be enough to solicit feedback. 

House #2: Foreclosure

Asking Price: $31,000

ARV: $45,000-50,000

Rehab costs to rent: $5,000

Estimated Rent: $550

2/1 859 sq feet 

I believe the houses hit the 2% rule. As always, a risk with low value rentals is that CapEx will destroy you if/when it happens.

Any thoughts would be appreciated. Thanks!