If you're looking to attract younger tenants with discounted rent, you might be able to make it work. 

Although they are starting to see some development from players like Mandel, Cobalt and Ogden, the city was geographically poised for an economic boom 10 years ago and only now is it starting to attract real attention due to various challenges previously mentioned (demographics and ease of business being the top two, in my opinion).  

I've been asked by a colleague to put together a proposal to attract investors to a residential real estate portfolio. 

One of the things that attracted me to Missouri was the eviction process for nonpayment.

Pretty attractive cost per unit price for NE Minneapolis.

What you plan to do with it makes a big difference based on the numbers you're talking about.If it's a flip, $35K with a $50K ARV doesn't seem to good.For one, I'm 99% certain the home will need more than $5K of work to make it an attractive home to an end user.But, if you want to buy and hold, it may make sense, depending on what you can get for rental income.Don't rush into a deal just because the numbers SEEM good.

To become the member of BBB(better business bureau ) it could help to attract more sellers for lease options?

That person is always attractive and knows how to deploy the 'charm offensive' That's how I get my most fair numbers ;) ;) 

Where would I most likely attract room renters? 

Would you be willing to share more information with me regarding how you would structure an offer that would be attractive to the seller in this example, yet still retain enough potential for the buyer to make a reasonable profit?