I have a SFH in an Indianapolis suburb. I bought it about 10 years ago (it was my primary residence) and rented it out instead of selling when I moved to California. I paid such a low price for that house less than a Tesla :) no renovations needed but at some point if when my tenants move out, I'll probably put in quartz countertops and take the carpet out and do LVP floors. It's in a Class A neighborhood with great school district and have high quality tenants. I have a low interest rate so it doesn't make sense to sell it. I disagree with houses not appreciating in suburbs - I don't know the Manhattan or New York market but in Indiana and California suburban houses appreciate, especially in nice areas in California. I get multiple calls/texts each week asking to buy my SFH in Indiana and Bay Area so I think SFHs hold their value.
I wouldn't buy a condo as an investment property but some people can find condo deals. The ever increasing HOA fees will reduce your cash flow a lot. My method of house hacking in San Francisco Bay Area was to buy a condo, live in it for a few years and rent it out. I wound up selling the condo. The HOA was badly managed and our HOA fees increase 3 times in the 2.5 years while I lived there. Also it was in a city that was very pro-tenant so I decided to cut my losses (didn't do my due diligence so learned a big lesson). I took what little money I got out of it and am buying a SFH. I bought a fully renovated house from a flipper.
I think the Midwest has great price to rent ratios. For a quick analysis, if you can't meet the 1% rule, it's probably a good deal. For example, if a house costs $100,000 and you can get $1000 rent (1% of the purchase price). 1% is really difficult to hit in expensive markets like NYC, California especially at the higher interest rates and prices now. My price to rent ratio on the house I put an offer on is 0.76% (projected rent since I haven't closed on the house yet or put it on the rental market yet). If I tried to buy a house in SF Bay Area I'm paying over $800,000 and there's no way I could charge $8000 rent, maybe $4000. There are other metrics to look at besides the 1% rule but it's a quick way to narrow down your search.
If you're just starting out, I would think buying in Manhattan or an expensive area is nearly impossible. Also look at an area if it's landlord friendly - I'm going to guess NYC isn't. If it takes months to evict a non-paying tenant or you have to pay them a relocation fee (for example if you want to sell the property or move back in as the owner), be super cautious about buying in those areas. SFHs are easier to get into as a beginning investor. Also there are a lot more SFHs on the market than duplex, triplex or four plex properties. I found hundreds of houses vs. finding 3 duplexes or four plexes in my search. Buying 5 units or larger is buying commercial - haven't looked into that yet.
I think the Midwest (Indiana, Ohio) and Tennessee (Memphis is more affordable but Nashville is a hot market for house but prices have gone up) are great rental markets. You can buy turnkey/move in ready for under $180,000. If you want to do a rehab, under $100,000. I also talked to a realtor in Florida who suggested I look in the Panhandle area (Fort Walton Beach, Navarre, Panama City Beach). That area doesn't seem to get hit hard by hurricanes as Miami area. I may consider buying in Florida in the future since it seems like a lot of people are moving there and there's flexibility with buying a SFH as a long-term rental, mid-term rental (to travel nurses and business professionals) and short-term rentals (AirBnbs). Texas is landlord friendly and their homes have appreciated a lot. Property taxes are high but if you can make the numbers work it's a good deal. Good luck!
