What are you zip code suggestion to have cash flow

Question

While I am searching to find a city/zip code where I can buy a property within 200k range I noticed that as I choose B or above areas the cash flow reduces to almost zero and if I go to class C areas I can get good money but need to handle bad tenants and possibly all the cash flow may go to fix as they don’t care about the property. What do you do? I’m a newbie looking for an out of state rental property but concerned about bad tenants.

Jonathan Greene · Answer

Right now you are just throwing darts into an ocean and you won't find a bullseye in there. Every zip code can cash flow if you know how to find deals. Some are easier than others, but there are hundreds of forum posts on hot markets, but they won't matter unless you understand the areas and build a pipeline of trust. If you are just looking up zip codes in random areas, how can you even know what B and C areas are and the cashflow?

Joe Villeneuve · Answer

First.  A zip code won't do you any good since properties that are good for REI aren't based on zip code.  Just because a property you may find is good, doesn't mean that you can find many, or even one more property just like it in that zip code.

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