that we’ve learned in our 24 years, managing almost 700 doors across the Metro Detroit area, including almost 100 S8 leases:Class A Properties:Cashflow vs Appreciation: Typically, 3-5 years for positive cashflow, but you get highest relative rent & value appreciation.Vacancy Est: Historically 10%, 5% the more recent norm.Tenant Pool: Majority will have FICO scores of 680+ (roughly 5% probability of default), zero evictions in last 7 years.Class B Properties:Cashflow vs Appreciation: Typically, decent amount of relative rent & value appreciation.Vacancy Est: Historically 10%, 5% should be applied only if proper research done to support.Tenant Pool: Majority will have FICO scores of 620-680 (around 10% probability of default), some blemishes, but should have no evictions in last 5 yearsClass C Properties:Cashflow vs Appreciation: Typically, high cashflow and at the lower end of relative rent & value appreciation.

Sherman does seem interesting though because of the lower cost and growth potential.  

In my experience, the local banks are going to get you better rates and lower fees with their commercial loan products than the "DSCR lenders".

We do know the border had its issues, but currently illegal crossing are lower compared to when Trump left in office.

In general higher cost neighborhoods are safer than lower cost neighborhoods.

The price points do make it hard to cash flow even with the lower interest rate subject tos. 

These neighborhoods seem to fit my goals, especially with their lower crime rates and potential for growth.Do you think these are solid options, or would you recommend other neighborhoods in the Philadelphia area based on the price range and focus on appreciation?

If your rental rate is below the market anyway, a Tenant might consider this to be win as they would get the lower rate in the beginning and just rise to the level they were looking at everywhere else.Step clauses can be written right into the lease, or created by using 3 month lease terms with an auto-renewal at the step up rental rate price. 

I can send you their contact info.Quick Tip - I would start with a range of offers (lower-end), that usually helps my clients get out of the analysis paralysis phase.

Benefit of waiting is lower mortgage payments and lower debt.