Router router is pricier than the local guy. 

So a 3 bedroom apartment 7 people can live there if they are related.Unrelated people generally will need to adhere to local regulations on unrelated people.

Don't forget that you should be networking at some local real estate meetup groups.

Highly suggest attending local meet ups and picking everyone's brain at those events.

I would highly suggest that you tune in to the BiggerPockets Podcast and attend your local REI meetups.

Lots of great folks there in all stages of their investing that would be able to give you some great local advice.

But, it's critical to evaluate the state of the local market, your capacity for managing several properties, and the possibility for cash flow.If you see great potential for long-term appreciation and are okay with the higher property price, option 2 can be a good course of action.

I would recommend looking for local meetups.

I generally like local options! 

Quote from @David Propst: Go to BUILD YOUR TEAM at the top of your screen and you can search for other MEMBERS or LOCAL MEETUPS.