However, if you want a long term, stable investment then the 1% rule may work for you.  

Also your shelf life of the property will last longer, youll have a lot less maintenance costs, youll generate a buyer/tenant quickly, and you can rent/sell for the maximum amount in the area. on the flip side, you wont have as much equity as you would if you bought low and sold high.

But if you shock them with a huge increase, it may be something they can't immediately afford and you lose them.I'm generous with good, stable tenants... and I have found it ALWAYS pays off with longevity. 

By consideration, you would then need to research the area to determine vacancy rate, class of tenant, if market trending up (appreciation)/down/stable, is population increasing/decreasing/stable, is population getting older/younger/maintaining, etc.I suspect someone provided you very optimistic numbers that the 50% rule will expose.Good luck.

Ten years ago, my wife used to buy these little bottles of tea tree oil-infused all-natural cleaners, any nice-smelling boutique stuff she found on a shelf in the local upscale groceries, the trendier the better.

I think the neighborhoods I’m looking at are stable enough, but I probably won’t get the appreciation like in better neighborhoods.

We get to see so much of the world, we can easily spread our investments around a bunch of stable areas or focus on a few key areas that we like best.

Those are in the nice, stable neighborhoods with low crime. 

The requirements are:The VA has established three general requirements VA loan applicants must meet:~You must have a stable source of income.~ You must have adequate credit.~ You must obtain a Certificate of Eligibility (COE) from the VAYour next step for, this or any investment, is to get pre-qualified. 

Make sure occupancies, jobs and incomes are stable and consistent,