Purchase price: $365,000 Sale price: $585,000 Shut down three times by the city based on neighborhood complaints that were completely unfounded What made you interested in investing in this type of deal?

And most of the time they aren't listed, they are found through networking and sleuthing neighborhoods haha..but this strategy would keep you under leveraged, keep your net, worth high, and will always create the necessary cash flow given you are doing all the other things to rent your peppery to good tenants.

@Michael Ealy When you see high foreclosure filings do you tend to pounce for the deals or to avoid because of the neighborhood?

The other part is in your style choices and attention to detail.

I'd recommend looking for 1.25 - 2% deals in B neighborhoods to start. 

@John Patton I was doing some poking around online and it does seem like people don't move to Irondale for the school districts. otherwise they seem to like the neighborhood

Is the median income trending up, etc.Once you start getting into individual neighborhoods you probably want to look at crime statistics, foreclosure rates, etc.Is it possible to find a deal in a well established market using the 1% rule?

You'd probably get in the neighborhood of $50-60k, so you might be tight if you try to buy TWO duplexes (even with 3.5% FHA), but possible depending on what you buy.

I've learned I can still leverage MLS access/data for comps and getting a feel for a neighborhood. 

4 Unit Building (one floor/ranch style) - located in Chicago suburbs.