In some instances the premium rents for the larger units combined with the lower construction costs of the larger units performs better but its circumstantial based on the building characteristics and market.

** Value adds - additions, renovations, development, reconfigure outdated floorplans/characteristics, etc. 

Reliable passive income must meet three criteria.Reliable - Your income continues even in difficult economic times.Inflation-Compensating - Rental income increases faster than inflation, compensating for rising prices.Persistent - Your income will last; you and your spouse won't outlive it.In order to achieve a reliable passive income, you have to get three things right:Location - The location defines all long-term income characteristics including keeping pace with inflation and how long the income will continue.Tenant pool - The tenant pool defines income reliability, including paying all the rent on schedule (even in bad economic times), how long they stay, and more.Property - The property defines its tenant pool, initial return, time to rent, maintenance costs, and renovation costs.Fortunately, there is a straightforward process for selecting the location, tenant pool, and property that eliminates the need for personal opinions, chance, or emotions.Location SelectionLocation selection consists of two steps.

There are a few characteristics that can help with this search, locale to Shenandoah National Park Entrances, locale to Shenandoah River, logistics for travelling through the rural mountainous terrain, and availability to amenities just to name a few.So what submarkets check these boxes?

Like Ned Carey said with his 2 block rule (which I like), neighborhood characteristics can change a lot in 2 blocks.

There are too many large, characteristic homes there to not to.Lot of ifs there but I'd like to see it happen.

I'm in the process of understanding the characteristics of an ideal realtor for my situation and hopefully, I could find the right person or people and build my team. 

If REI ends up being your pursuit, I'd do something similar that @Cody L mentioned and that I mentioned in the NFL player thread but more SFH oriented. 60% towards 20-40% LTV properties that are undervalued(less than median price) in a growing city(by characteristics, trends, industries). 

It's really frickin' depressing to go to multiple houses with multiple investors who think they're going to clear $50,000 on a flip, only to have to tell them that, no, we can't cram $60K of reno into a $35K budget (and, BTW, those comps "within a mile" are for a neighborhood across a major intersection with very different characteristics, so your ARV is probably $20K lower than you thought). 

The lender said I'd be able to utilize the down payment characteristic of both loans to essentially get into the real estate game and be on a good track to start scaling.