Ask around in that particular area, understand who the renters are (group of students near a university?

I found a lead on a 1 bed 1 bath house recently and I have emailed the owner.First off, I would consider moving into this small house in the future.Asking price is $20,000Taxes are estimated to be less than $800 a year.Stove, Fridge, Washer and Dryer IncludedCar port with small storage unitNewer windowsA/C is a window unitRoof Age currently unknownIt has a large back yard and is located in the quieter part of a small college city.10,000 permanent residents and 9,000 students roughly estimatedHere is what I am thinking in terms of buying this place.Buy it for cash and then rent it for $400 to 1 of the following types of tenantsA retired person or couple.A graduate student at the university who wants to be away from the party scene.Lease option it to a recent graduate.If I move into the house in the future I would like to add more rooms since it has such a large backyard.Thanks in advance for any thoughts or advice.

I am originally from Massachusetts, attended school at Michigan State University, then decided that it was time to defrost from the cold and migrated south to Virginia.I must say that I am very excited and grateful that I have found the BP community!

My ideal situation would be to own real estate near Arizona State University (where i went to school) because i know the area very well and the property tax is next to nothing.Which makes the monthly note on a home very manageable, as well as the constant stream of students coming in every year.

Yes, but in my universe everyone has an equal opportunity to be stupid.

A lot depends on the university, the student’s peers, the intended path after the degree, etc.

(Including standard labor costs factored in) Hopefully these are good ways to estimate costs, and are "universal" estimates for many properties.New Flooring $___ per ft2Kitchen Cabinets $___ per linear ftGranite $___ per ft2Bathtub $___ eachVanity/Sink $___ eachTiling $___ per ft2Carpet $___ per ft2New Drywall $___ per ft2Removing non load bearing walls $___New Electrical $___ per ft2New Plumbing $___ per ft2New HVAC Systems $___ each plus $___ per ft2 for duct workDecking $___ per ft2Replacing Windows $___ eachNew Roof $___ per ft2Standard Holding Costs that quickly add up!

I've literally just graduated from Iowa State University with a professional degree in Architecture and a minor in Economics.

Hey, if it works for you fine but IT IS NOT how a cap rate is used professionally and it is ridiculous to tell an investor that "10%" is the universal "good". 

Other areas on the rebound are Boston-Edison District, Corktown, Woodbridge, Indian village, East English Village, The New Center, University District and a few other neighborhoods.