Have 2 properties in Duke City.

Let's assume that the neighborhood is a C class and the median income of the city is greater than 3X of the market rent.Here are some of the considerations I've come up with so far:- Units are in need of renovation and capex is too high or not available- Unit quality is not the same as market - Seller is worried about losing tenants due to increase- Vacancy rates are high or filling units have been difficult- Rent increase would take multiple increases over multiple lease periods to get to market rate if seller is trying to retain the same tenant- Seller inherited property and just want to liquidate- Seller needs to liquidate quickly (financial burden, sickness, quick exit from land-lording)It seems like I might be missing a warning sign about a deal if they are selling with current rents that are under market; but again, this seems to be most of the properties I've underwritten.And in the same vein, what should I be worried about when purchasing a deal with under market rent with the intention of raising them after purchase. 

I'll be bouncing back and forth between the two cities over the next four months before I move in order to get life set up and trying to learn the city... and hopefully find my next project. 

I’m very familiar with the city but have been gone three years, so curious what’s happening on the ground.

This initial conversation before the owner has a property can be very educational especially if the owner is out of state or has never been to our city.

I generally recommend if you're not going to buy a property in the city/market where you currently live, the next best place to look is where you have family (and presumably a place that you'll visit relatively often and easily).What is your price point and are you looking for turn-key properties or something along the lines of a "fixer upper", assuming you buy in Peoria or a similar priced Midwest market?

It's a lot of work upfront but once the team and systems are established it gets easier and as you get better you can expand to another city. 

Like @Collin Hays said, it is being driven more by neighbors tired of poor STR owners not keeping things sorted.We only look for places in vacation areas with a long history of owner driven STRs vs big cities and the like.

If that isn't satisfactory speaking at a city counsel meeting about the subject would also seem appropriate. 

Its never going to work if you want to buy in the low income areas of a city and hire management from outside.