@Elyse MartinezRecommend you first figure out the property Class you want to invest in, THEN figure out the corresponding location to invest in.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.So, when investing in areas they don’t really know, investors should research the different property Class submarkets.

Most real estate projects today are either not achieving their preferred return in cash flow or may not achieve this bench mark for the first three, four or even five years -- at this point, there may also be accrued preferred return that would have to be caught up.As a fund manager, what other asset classes are you evaluating to help increase cash flow for both your investors AND yourself?

Recommend you first figure out the property Class you want to invest in, THEN figure out the corresponding location to invest in.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.So, when investing in areas they don’t really know, investors should research the different property Class submarkets.

Some believe in cash flow later down the road by buying class A/B in high appreciation areas.

@Mohammad Al-hadad investor expectations have been skewed by the last 5 years of low interest rates and artificially low prices.10+ years ago, most investors focused on Class B and C properties, not Class A.Reason: hard to get Class A properties to cashflow!

---Our standard copy & paste about this is below, hope you find it useful:)Recommend you first figure out the property Class you want to invest in, THEN figure out the corresponding location to invest in.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.So, when investing in areas they don’t really know, investors should research the different property Class submarkets.

Not meeting that fate requires a real commitment and a solid foundation of skill, knowledge, and experience.I don't think these folks that get talked into paying for a class to do this have any inkling what happens to a GP when a project fails and if they did no way they would do it.. lawsuits are pretty much guaranteed stress off the charts.

Regarding remote managing, in our 24 years of experience, dealing with hundreds of investors, what we've had to bail DIY Remote Investors out of is mostly Class C properties with some Class B.So, in our opinion, one can remote manage a Class A property fairly easily if you are organized.Class B requires more organization and knowledge, to avoid tenants taking advantage of you.Class C should NOT be done DIY - hire a PMC!

In a past life, I did a big analysis of various asset classes throughout many recessions using data from NCREIF data.  

If it's a lower class neighborhood you are probably going to put in $75 ceiling fans.