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.

I second Transunion as a decent screening tool.

I found property in the Scranton area. found a decent duplex that cash flows. 

The 38128 is slightly below the median and is in a decent area, but definitely an area on the more challenged end of the spectrum in Memphis. 

A child gets exposed to fentanyl in the property, CO poisoning, or someone gets shot in the property and then landlord gets sued.

We have decent equity in each and the loans were taken out at a great time, 2 of them at less than 4%, 1 was paid off with a HELOC on our primary residence at 2.5% for 15 yrs., 1 was bought with a HELOC on the free and clear home. 

So I'm always able to offer a lower rates and fees and still make a decent living.

@John McKeeSuccesses: Bought 5 cheap SFR out of state in Arkansas that cash flow decent.

If the place is in decent shape I would offer to credit it toward the next month's rent and write addendum including no future pets.

The one cost will be getting the units furnished, but if you live in the area it isn't hard to source a bunch of decent 2nd hand furniture on Craigslist or FB market