Let's be clear - if you buy in an A or B neighborhood just about anywhere, your cash flow will be zero or negative.  

Here's how I do my due diligence:1) Portfolio matching: (takes 30 seconds per deal)a) Have an educated opinion on where you think we are in the real estate cycles (financial and physical market cycles)b) Then only then pick the strategies, capital stack, and specialized asset subclasses that make sense for that opinion.

We're making substantial improvements to property #2, so worst case we could always refi to pay off the HELOC.Always run the numbers and have a Plan B, C, and D!

@Terri B.

You are seriously going to rent to someone that a) has that many negative comments, and b) you know is a lawbreaker (hiring illegals)?

I focus on B class areas. 3.

Generally you can find deals in B/C class areas no problem with rents at 1%.I live here myself, 5 minutes from downtown and within the city limits, and would not consider it super dangerous by any stretch.

You can find distressed off-market duplexes under 120k and SFH under 80k in B to C-class areas.

@Nooruldeen B Aldulaimi Sure.

Quote from @Ryan B.: Just look for a commercial umbrella.