These are 2-bedroom, 1-bathroom properties that I had originally planned to keep in my rental portfolio, but my plans changed.

Absolutely you can, I rolled over my IRA into a fund making double-digit returns. 

We needed to build more there but the cost to build has doubled and the return is t sufficient.

Buying a property as primary, renting a bedroom or two to friends is a good way to start building your RE portfolio.

I can also allow a tenant to grow with me - just moved a family from a two bedroom to a three bedroom apartment.Personally the only reasons I would choose to invest in multiple markets is a) because I wanted an excuse to go somewhere regularly or b) for economic/geographic diversity.I had the advantage that my home market was good.

It might not even apply to you - just another issue in a somewhat gray area of real estate law.But remember- if a buyer buys the home in a double closing - no issues whatsoever - anywhere. 

I just looked at a place that would be worth double if it was a street over even though it's in the same zip code for example.Welcome!

EBR housing allows around $1,300/month for 3 bedrooms.

As eric pointed out, someone who lives in Phila will have to be registered as a manager of the property to obtain a rental license - usually a PMPersonally if you're looking to target SFH I would recommend: Roxborough (for 3+ bedroom - there is a large saturation for 1-2 bed apartments in area), East falls, E and W Mount airy (need to be proficient in neighborhood to know where the good and not so good blocks are, and far NE philly.

Yes, Kalamazoo. 2 bedroom is rented for the next year. $1300/month, tenant pays all utilities. 4 bedroom one is vacant.