Or try the reverse - rehab a property to Class A standards in a Class D neighborhood and try to get a Class A or B tenant to rent it.Unfortunately, many newbie real estate investors are jumping into buying affordable Class C rentals - expecting Class A results.

How do you balance affordability with growth potential?

It's affordable and helps prevent erosion while providing a cleaner look compared to mud.3.

@Pat Aboukhaled wife & I have thought this would be a great use of failing malls for affordable housing.Unfortunately, as @Greg Scott points out, many people take the path of least resistance, which can ruin the idea.So, you'd want security cameras and maybe even security guards to hold residents accountable. 

Their behavior indicates they are not responsible and don't have the finances to afford your rental.

One of the keys I've found is focusing on neighborhoods that are on the upswing—places with signs of revitalization where you can still get affordable properties.In Memphis, I'd imagine a similar strategy would work.

Our property management company is based out of New Brunswick, we see a lot of success with rentals around Middlesex County and they're more affordable to buy vs North NJ. 

I don't know Chicago that well but sounds like that area (the 78) is up and coming and may be a great opportunity as it's still affordable. 

I'd buy the best primary single family house you could appropriately afford.

Some common questions include how to choose the right markets, especially with inflation affecting affordability and returns.