Now granted, I am in good neighborhoods... this wouldn't work so well with tougher tenants. 

It is just that now it has really boomed, first in the 2000's until the crash and now seems to be back again and the IRS and state revenue people are well aware, city inspectors are well aware, everyone knows what's up now and where 10, 5 or even two years ago it was easier to get away with a lot of stuff, it is getting much tougher now!

Much tougher to find something that will do that.

And you could also try to find private lenders either in groups like those, or from friends and family - though a HELOC is slightly complicated and maybe a little tougher sell for friends and family (since the payment could change).I always have mixed feelings about mortgage brokers.

Cap Rate = NOI / Value Value = NOI / Cap Rate You normally see higher cap rates in tougher neighborhoods, riskier.A areas = 6-7 cap rate B areas = 8 - 9 cap rate C areas = 10-11 Cap Rate D areas = 12 caps and above 75 units.

Sounds good in a hotel ballroom with all the excitement, but tougher to do in reality.Some will call you and tell you they and their partners will buy all the 70%-repair properties you can bring them. 

In Washinton DC, for example, it would be much tougher.  

Tenant base will be a little tougher, but South Warren and Dearborn Heights are fairly close quality wise.

Retail condo's like that are tougher like you mention.

Without it, I would have a much tougher time, but I'm building a track record I can use for my own deals later.