Im looking at real estate in my city and I want to buy a cheap house to rent ($30k to $55k) but sadly a lot of the houses in that price range are in some rough neighborhoods. Do you guys recommend investing in such places? Are tenants likely to go into bad neighborhoods? How are tenants like in these types of places?
Not sure where you are planning on investing, but a piece of advice that I have heard and tried to follow is "buy the worst house in best neighborhood you can".
You can fix up a house, it is very hard to fix up a location.
That being said, if you know the area and understand managing rentals in the area, cash flow can be better in these situations.