Hey guys,I'm about to put a 20-unit property under contract, and would appreciate your insight.The property consists of 20 units, fully rented in a C area. 15 people on waiting list.

You'll need plans B, C, D, ... in case plan A falls through.

Our group is looking to take advantage of emerging markets with C class properties in B or A areas.

Depending on what your investment criteria is, a strategy you use in South Boston (A class area/ A class tenants) vs Mattapan (C-D class area/ C-D class tenants) will vary greatly.I work with clients both experienced and beginners, acquiring and leasing their properties.

Different sizes of apartment buildings have varying typical operating costs.So you have size of the building 10,20,100,300 units etc.Location of the building A,B,C,D,FAge of the building A,B,C,DQuality of the tenant baseand on and on.Are you trying to syndicate as a sponsor or buy yourself? 

The best options I've found are occupied properties in C/D neighborhoods in Sacramento that would generate around 12% COC, but where I likely wouldn't be able to recoup significant capex and where tenants *might not* consider rent their top budgeting priority.

I know it's tempting to buy into a sub-$50k C or D prop because it fits your budget, but I'd really recommend holding off until you have more capital and can invest in a lower-risk product.

I house hacked a duplex that rented for $1700/month in a c+ area, built in 1981.

I think you'll find the best cashflow in some of the B/C class neighborhoods in our city as opposed to what I personally consider the "nicer" A class neighborhoods, and since your goal is passive income you might want to shift your focus to those areas.

@Ryan Ouderkirk @Michelle C. - is right.