Without having to go to the Bank and getting Owner Financing would be a way to get a low down payment or having to get  "House Hacking" insured loan and having to live there for usually about 12 months.Showing the Owner on paper how that kind of loan how much more he could make and how spreading out their income could reduce their tax liability. 

I run over 1,000 rentals out here and lots of them are in low end neighborhoods.

Will there be better alternatives to using them—absolutely.

@Wiley Strahan When the inventory is low.

This could be worth it and you'd place high value on Low Price/High return.Flip side of that: Nice area, good schools, good tenant pool, typically long term renter..... buy you're looking at 1100/mo for a 120-130k house.

Historically low interest rates.

What about refinancing at that higher appraised value while rates are still low and then using your extra cash to help fund your next purchase? 

Expect a tenant turn over when you push.The problem with the community is the non enforcement of community rules and a low quality tenant base that does not have  very high social standards.

For our area, market rent prices are comparatively low and don't even come close to the 1% rule  (the rent to value ratio here is often more like  .5%, causing it to negative cash flow).

Then start the hunt for a nice tri or quad you can house hack with super low owner interest occupied loan?