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.

Just like bonds & stocks, different properties will have higher & lower risks.

My guess is they have low level of book keeping sophistication. 

It's OK to be more tenacious with negotiating down, and make the most out of a slowing market to buy at lower prices.

There are significant advantages to investing here (lower barrier to entry, much better price to rent ratio's, etc. etc.).

With $50k, you likely have enough to get started, especially if you target lower-cost markets or use a strategy like house hacking.

@Chris May,"This statement represents a base level lack of understanding as to what amortization is.

While I could have gone lower I am lowering my risk tolerance because I expect a recession in late 2019 to 2020.

Appraisers are using MLS data and often it is lower than actual rents. 

A HELOC or cash-out refinance is definitely worth exploring if you want to free up capital for more investments, but make sure it fits your goals and comfort level.