He lost all of his properties mainly because rents plummeted, his houses were also older, and renters shifted in to other vacant properties that were much more updated.Contrasting to that, my highly desirable Brooklyn, NYC properties didn't miss a beat during the crisis.I also wanted to add that another Investor friend of mine bought a SFH Investment in East Germantown, Philly.

Suddenly I had the desire to see if I could buy the house subject to.

As soon as they can 1031 up into more desirable properties that are not headaches then they will do so. 

Max 75% LTV so you could pull some equity out if desired.

The low cap neighborhoods - you know those by the beaches- are the most desireable and low cap neighborhoods. 

A beach house with a bungalow in the back, in a tight market, in a highly desirable area...

The ethical wholesaler makes sure that they can close even if their desired buyer pulls out. 

However, I've also read that if the tenants live with clutter, decorate the house in a less than comely manner or make it seem in any way less desirable, it can negatively impact the appraisal.

its all about price point for most.its hard to do anything with 50k in a market were the median price is way north of 500k.. so mid west is an affordable option for those that for whatever there desires are want to be landlords or real investors.. simple as that in my mind.

You can find deals in less desirable areas like the poster above me.