We are finally starting to see things pick up, but there is a lot of supply out there now so you HAVE to ensure you are pricing your rentals right and putting your best foot forward.

Another example of economic growth is the upcoming Ohio State University Wexner Medical Center Inpatient Hospital which is a 1.9million square foot hospital that will bring over 800 new beds and a thousand new jobs. https://abc6onyourside.com/news/local/new-osu-hospital-expec...

Both my wife and I are struggling to think of the kind of people in the area who would want to rent a 1,450 square foot house that only has two bedrooms and one bathroom (the half bath in the unfinished basement does not even look usable—and even if we finished it up, its hard to imagine a renter would want to go downstairs into an unfinished basement just to use a nice toilet).2.

It may indeed be on solid footing.

One anecdote typically does not prove a trend but my 23 years of experience has been consistent with the following real-life examples:I purchased a small 1,500 square foot home in Mill Valley in May 1997 for $445,000. 

Private money- will be more expensive but can get your foot in the door while you are working to solve your credit situation.DSCR Loans- focuses on your Principal, Interest, Taxes, and Insurance vs the rent you receive.

I chose the latter and while it's gave me the ability to fund some of my marketing and cover other expenses I found it difficult to have a foot in the door of two completely separate, unrelated fields. 

For reference here is the breakdown of price based purely on cost/sq foot of this 700 sq ft cottage300K = $426/Sq ft280K = $398/Sq ft260K = $370/Sq ft240K = $341/Sq ft210K = $300/Sq ftThe intent is for personal use of this cottage as it cannot be a short term rental.I wrote a separate post regarding creative financing on this with the seller herehttps://www.biggerpockets.com/forums/50/topics/1171112-pleas... which may paint a little more color on the situation.I appreciate the help.

Do you know what other builders are building for per square foot in your area? 

Maybe after I have solid footing in real estate, I may have the capital to invest locally.