If you analyze a few deals for properties in the $200k-$250k range, that show the numbers investors want to see, you will have no problem finding a private lender to partner with.

The properties I am purchasing are in the 50k range.

@Yuvaraj Vimawala what price range / unit count are you shopping for?  

I imagine finding the range for what the going rent would be is, in theory, easier - but would that information be enough for a lender in terms of qualifying that income against the debt for qualification purposes? 

The software analyzes 3 sets of data:1 - Sold Comps2 - 4Sale Properties3 - Rental CompsI designate an area (can be as small as 1 square mile...a micro-market).I establish the range of sq ftg I will be using (i.e...1000 - 2500 sq ft), then the software groups the comps (all three sets of data use the same sq ft ranges) in sq ft ranges. 

imo $100k properties in Amarillo that your buying at a discount if they  need some rehab is almost touching class a properties in amarillo, the reason they prob wouldn’t be considered class a would be the age, but solid b+ stuff in that range.

Using your analogy with the 2/1, you need to find it for lets say ~130k and it needs 70k worth of repairs/remodeling to give you an APR in the 250-300k range and make sure you can rent it for >2k a month. in order to make the greatest cash flow you need to find the most rundown houses to fix, or go on the less desirable areas. unfortunately that's where the majority of investors are as well. i'll give you an example of one i just completed. it is in an up and coming neighborhood. some parts are scary, while new construction of luxury townhouses are within a block. it's a duplex with a 3/1 and a 2/1 (i know i said i wouldn't usualy get these, but it was a really good deal).

@Rob Roth I don't  often see much better than 1% just sitting on the market, they usually go quick if there in or above that range.

My new strategy is to acquire a buy-and-hold SFH to rent out in Indy with these purchase filters:$50 -150K range Young professional neighborhoodTurnkey or only requires minor/cosmetic repairsMeets the 100:1 ruleBuilt after ~1980 (to minimize repair costs and appreciate into the future)I have $50K to available for this endeavor. 

On average, the rent would range from $1400 to $1800 for a 2 bedroom and 1 bathroom unit in an okay condition house.