Luckily for us, Columbus as a whole has really been brought up, that being said we have A,B, and C areas, so there really isn't anywhere that I would say to stay away from.

Hi @Andrew Beauchemin Yes, my primary goal is cash flow with stable tenants in a B or C area with cap rates from 8-10 %.

In appreciation, you're generally looking for 1% of purchase price in rents (sort of the break even point on paying the mortgage) in an A/B area that has a bright future. 

My marginal tax rate is 33% and I am working off the fact that interest earnings will be taxed at this rate since it will be over and above my 9-5.OK… Assume I have $100k in the bankScenario 1: $100k turnkey property in a "B" neighborhood getting $1000/month in rent.  

In essence, it's a bond, which was priced at a C-, but provides a B+ coupon. 

You won't really know, you can ask your RE agent to ask the seller what made them decide to change the vinyl siding, they may give you an honest answer or they may give you a BS answer.

Hi Britt,Numbers look good for a B class area.

All over Chicago A/B areas you can get positive cashflow.

I am from Israel and here there is a constant rise in rates and I assume it is the same is Memphis.The point about selling an A class property to the tenant is an awesome idea, kind of a lease option.If I was to look for distressed A-B class properties in Memphis to fix rent and maybe sell in the future where and with whom would your suggest me to look?

Personally, I steer clear of anything lower than a B-, because lower grade properties and areas just cause way too many problems, the appreciation is usually not there, and the cashflow just isn't worth the hassle...if the area is C or lower, I'd be thinking about selling the property...If it's in a higher grade area (B- or higher), then I'd be thinking about doing some sort of value add.However, you haven't provided enough info for us to give you much detailed feedback...For instance, what will the property currently rent for, and what is your current debt service on the property?