Investing in undesirable areas

[Account Closed]

What is your guys 2 cents on investing in multi-family homes in undesirable areas? Obviously this wouldn't be any investors preference, but when running numbers, the price of these types of properties seem to be the only investments with solid cap rates and second looks. Is it worth taking a much lower cap rate in more desirable locations, even if tenants are in place and a PM is in place as well?

[Phillip Dwyer]

Often times you can find pockets of decent homes/streets within the "undesirable" area that are overlooked just because of the overall area stigma.