That being said if you need 20 different LLCs to sleep well at night then do it if you can afford it, but look at the really big players. 

How can a PMC afford to do more than the bare minimum, when owners only want to pay the bare minimum?

Am so TIRED of trying to explain this to naive newbies who think they need to buy Class D rentals because that's all they can afford and S8 is going to solve all their cashflow problems!

Or try the reverse - rehab a property to Class A standards in a Class D neighborhood and try to get a Class A or B tenant to rent it.Unfortunately, many newbie real estate investors are jumping into buying affordable Class C rentals - expecting Class A results.

@Samuel Coronado - the challenge is that there will likely be a very small number of renters looking for a house that size, as well as that can afford a rent amount that high who won't just buy otherwise. 

While it’s an affordable entry point with low maintenance, you need to watch out for high HOA fees, rental restrictions, and resale challenges.

The rental market in Phoenix has seen significant rent increases over the past few years, which has led to affordability challenges for many renters. 

We are currently at a low affordability rate, which is typically a leading indicator of slowdown and price trend change.

While we need massive reform in lending and solutions for home affordability, that ain't it. 

Here are my two cents...I recommend starting in a market with strong fundamentals, such as steady population growth, an influx of major corporations or large businesses relocating to the area, an affordable cost of living, and high rental demand.