He previously worked in risk tolerance for insurance companies, so they derive their estimates with a strong conservative approach and then also their current portfolio experience. 

Hey Jorge,       The answer to that question depends on a couple factors-  your price range, your tolerance for good/bad neighborhoods, what types of properties your looking for etc... my personal suggestion would be to look at multi family homes arounf Port Richmond, Germantown, Frankford, or Norristown pa, but again its hard to say not knowing what your ultimate goal is. 

We are quite adapt at getting folks focused on matching up their resources, tolerance for risk and current market conditions and jumping the learning curve. 

Based on Jay's reply about newbies being scared away yet him never seeing IRS lien's being redeemed, it sounds like it depends on your risk tolerance and available funds.

What is your risk tolerance?

What is your risk tolerance?

Cap rates are relative to the buyer and the class of property and not necessarily the geography.Institutional investors will tolerate a much lower cap rate than non because they only want A and A+ properties.Entrepreneurial investors want a higher return and therefore will go for B and even C properties.That's true of any market, including Columbus, Ohio.

Traffic is much more tolerable up here :)Are you hoping to invest more in Chattanooga or mostly around Atlanta?

In the end it all comes down to how much work you want to put in on a day-to-day basis, what your priorities are re: highest ROI% vs headache/risk tolerance, and how you feel about taking on debt, albeit debt that is paid off by tenants.Sorry for the lengthy post, I kept seeing more things I wanted to touch on with each post I read!

if you pay off your loan you will have less risk, but a lower return of your cash invested. simple as that, neither is wrong, just depends on your risk tolerance.