How to determine war zones?

[Maurice Lucas Jr]

What makes an area a war zone? Detroit is recovering, but there is still has a ways to go before it catches up with other metropolitan areas. However, that doesn’t mean there aren’t good cash flowing properties here! The business model just has to be adjusted for the market. I’m interested in providing cash flowing deals to investors, but it seems that many are afraid of our market. With that being said, what makes a neighborhood a war zone?

[Russell Brazil]

Money can be made in all markets and all asset classes. 

The #1 factor in making money in class d/f areas is market knowledge and knowledge of how to deal with the issues that arise from investing in a high risk area.

I grew up in a class d/f area, and Ive invested in those areas in the past. But while having grown up in similar areas,.I did not have the proper knowledge or protocols to deal with the tenant base...and so I lost money on a number of those investments. I had a highly appreciating class d property, and that helped save me on another one, but it was a real pain in the butt dealing with the issues on that one.