@Saul Clavijo make sure you understand you will be getting into Class C properties at those numbers.Food for though below, DM us to chat more about Detroit:--------------------------------------------------------------------------------------------------------Recommend you first figure out the property Class you want to invest in, THEN figure out the corresponding location to invest in.Property Class will typically dictate the Class of tenant you get, which greatly IMPACTS rental income stability and property maintenance/damage by tenants.If you apply Class A assumptions to a Class B or C purchase, your expectations won’t be met and it may be a financial disaster.If you buy/renovate a property in Class D area to Class A standards, what quality of tenant will you get?

Generally speaking the closer you get to downtown the rougher the area is.

I speak with the tenants personally and they are usually happy to tell me all the issues.

If you can get hold of a reliable and honest builder, you will be fine (that does not mean you will not go over budget).Low CapEx, Little Hassle, Quality Tenant, You can manage new construction out of state for the first 5-years, Tenant May Stay longer (because is a brand new house) are few benefits of new construction.You may not be able to get close to the 1% rule though.Goodluck

I'm sure there's individuals that are good at both, I'm just speaking in generalities. 

Meanwhile the  neighbors quality of life will improve once the new wall is constructed 2025 Q1 and the denser use is consistent with the Philadelphia planning commission's 2035 plan.

Thanks I honestly hate public speaking Which is weird considering I was in front of classroom for almost 20 years If your ever in po m-f shoot a call or text  I’ll try and make time to meet for a coffee

Re 3X 6X not sure what you are speaking about.I was addressing reserve requirements which do not have anything to do with PITI 

Generally speaking solid insurance and a good umbrella policy will provide ample financial protection for most liabilities.

I would base accepting them on asset quality.