People don’t want to share their quiet neighborhoods with renters who don’t value peace and quiet and a sense of community.  

I have done some deals that barely have a little positive cash flow in neighborhoods that I know very well and know that the house should appreciate well and that I will have no problem always finding great tenants.Hope all this helps.

@Jason SinclairWhat do other homes in the neighborhood have that you would be selling or renting competition? 

With things like the ONE Linden plan in Linden, which is a 50M plan to improve the neighborhood.

It's usually quiet even though the overall neighborhood isn't great.

This is as simple as going through neighborhoods and finding distressed properties, and learning how to make them offers.

The last thing you want is to acquire an STR deal that looks great on paper only to find out that the neighborhood you bought in does not allow Airbnb. 

However, they approach financial health from different angles.The 50% Rule is a quick estimate that suggests operating expenses (excluding mortgage principal and interest) will roughly equal 50% of the property's gross income.The DSCR is a more precise calculation (Net Operating Income / Total Debt Service) that determines if a property generates enough income to cover its debt obligations.Deal example:- Class C middle class neighborhood- 4bd / 2ba single family house- ARV: 190k- Purchase: 105k- Rehab: 35k- Market rent: $1,400-1,525- Section 8: $1,475- Property manager: 10%- Taxes: 125 month- Insurance $1250 yr- HOA: $55 month- purchased and rehabbed with all cash.

@Darrius LloydTo start your house hacking journey, research neighborhoods with potential for multifamily properties and balance affordability with tenant quality.

Flip side, for a third of that you are trained to find properties using creative finance taking over existing low interest loans that cash flow and you are buying in decent neighborhoods with every day lunch box Joes that have kids and go to work and pay rent on time.