Low Income Area

[Tristan Hill]

Hey Everyone! I am starting out my property investments this summer and have been looking at several different properties. But I wanted to see what you guys thought about this:

I live in a very low income area. It's an economically depressed area that houses don't sell very well in. Because of that, many houses that are for sale are dirt cheap. 

Most people would say, buy them since they are cheap. But it would make sense to question that logic by bringing up the fact that if you buy a $10,000 house and do $5,000 worth of renovations, if it doesn't ever sell.... that's a loss of $15,000. (Without all the extra costs included) 

So basically, I just wanted to get some feedback on what you guys thought about low income areas. Thank you guys!