So guess there is just a safety factor for me because I know what the tenant will be like since I have rented in these areas myself.Some of the worst nightmare stories I've heard form long term investors I know (that favor SFR's now) are from 4-plex's they owned in bad parts of San Bernardino CA on blocks with mostly apartments.

I guess this is old news, but I just saw that they updated the HARP program (HARP 2.0) to include investor loans and eliminate the 125% LTV requirement.

I guess my suggestion would be to do a tremendous amount of research before you just think a particular area would automatically lend itself to finding an investor or a tenant.

My guess is middle class.

That was my first thought as well, but then I realized that there is principal pay-down that needs to be factored in; I don't have a calculator handy, but I'm guessing it's somewhere between 4-5%.Still crazy cheap, though!

Some of my numbers are:Mortgage 3832 (25%down, 10yr, 6.5%)Cty Taxes 1666 (20k/12)Insurance 833 (guessed 10k/12)Gas/water 4000 (total guess)Management 1280 (80% occupied * 10%)So I end up with over 11k/mo in expenses.

I guess the Mississippi will be where the action is.

I guess the real question is; how much more can you get it to appraise for?

JonH-I guess in a nutshell I look at it this way.

I guess if you have guns you can get everything else.