In addition to the 7 federal classes, this state adds:Public Assistance (Sec. 8, welfare, SSI, TANF, etc), Sexual Orientation, Gender Identity and Expression (including transgender), Marital Status, Military or Veteran Status, Age (except 55+ communities) and AncestryYou can discriminate against non-protected classes, like illegal drug users - but if it has a disparate impact on a protected class, it still may be subject to challenge.If your unit is not de-leaded, you can still not refuse to rent to a family with kids under 6 years of age.

I have certainly watched many areas de gentrify so yes there is always that risk.  

Are we talking a duplex on a majority SFR cul de sac, or a 10-unit building on a major street?

Also you could identify a property from a syndication as a back up,  there are bunches of options for Delaware statutory trusts that pay reasonable returns that qualify.  

My wife and I grew up in Chandler and currently live on the border of Chandler and Gilbert in a county island.

I live on the border of Kops Park and Golden Valley.

This is exactly when passive investments like TICs and DSTs (Delaware Statutory Trusts) function best - combined with some good estate planning and a final 1031. 

As the state capitol, with OSU graduating 6000+ students a year, the tax incentives offered that attract big business and the 5 and 10 year job and population growth projections, Franklin and Delaware County are two of the best places to invest in the country some say.  

Pikes Peak really focuses on El Paso County, but lines can often get blurred around the borders.

@Pedro Martins,Here is the issue when IRA partners with "disqualified person":The IRS could easily claim that such transaction violates the IRS conflict-of-interest and self-dealing prohibited transactions in accordance to the IRC 4975(c)(1(D),(E) and (F).