Why would an investor buy a $235,000 property that is renting for $1,400?

I am a buyer - my buy box is 200k ARV, all in $150k after repairs, rents for $2000 per month.

It depends on where you want to live, income, personality, and other factors.You could buy a large home and rent out the individual rooms to cover expenses, but this comes with problems.

I have no prior investment experience but after living in Paraguay, and reading some books about real estate investments, I think I'm ready to buy my first property.

If you're financially stable, have an emergency fund, and have a buy [box] get into the trending C class neighborhoods and buy value.

@Jeffery Jones you understand you'll be buying Class C & D properties, not in the best of areas?

Don't buy those types of homes, they will take a long time and not sell for what you were thinking it would sell for! 

In 2025 does it make sense to build a 4plex and house hack it or is it better to buy existing multi-family? 

As far as their relation with the PM goes, the PM is the agent they used when buying the said rental, agent is local to Indianapolis, as for any form of PM agreement I do not know, it may be verbal, or they have a written agreement.Thanks in advance. 

@Zach Howard some copy & paste advice below:)-------------------------------------------------------------------------------------------------Recommend you first figure out the property Class you want to invest in, THEN figure out the corresponding location to invest in.Property Class will typically dictate the Class of tenant you get, which greatly IMPACTS rental income stability and property maintenance/damage by tenants.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.If you buy/renovate a property in Class D area to Class A standards, what quality of tenant will you get?