I've been trying to figure out what states/cities in the US are currently the best for buying rental property investments. "Best" meaning the lowest priced properties with the highest rental rates (without being in a War-zone).

In my area of Northern Virginia, there are DC suburbs like Manassas and Woodbridge/Dale City with townhomes and single families for the lower 100k's, that with $5-10k or so in repairs, will rent for $1200-1300/mo. So it's possible to get $400 - 500/mo in positive cash flow. However the cost to buy is pricier than other places in the US... Please post the numbers for deals in your areas.

My idea of a deal is to buy a 2-family for 30K or less and rent for $1000-1400/mo. And not in a war zone. When I see properties selling for 100K and getting 1K a month for rent I wonder who would buy them.

Yeah that's why I posted the question to begin with. Where are you finding those types of deals?

Rome, Utica, NY and surrounds. Nicer neighborhoods are bringing more...but if you're careful you can find good ones in in-between areas.
I know of a 10-unit foreclosure listed for $89,900 right now. It needs work, but each unit can rent for at least $400/mo. Do the math.

You can find deals here in Twin Cities, Minnesota with cash flows any where from $200 to $500 a month.

Check out Dayton Ohio

Yes I agree with Kevin 100%. The Minnesota real esate market is seeing some unbelievable buying opportunities.

Prices here are at lows, and rental demand is strong. This is creating positive pretax cash flow scenarios across the board!

I am buying in Springfield, MA.

We profit about $400/mo per unit. Mostly buying 3 and 4 unit buildings but we are now getting into 8+.

What types of loans are people using/finding for refis?

I have heard that Indiana is a nice place to buy investment properties with good cash flow return.

I invest in the surrounding towns where I live (Buffalo-Niagara region). You should be able to find 3-4 unit properties that provide a 18-25% CAP rate when properly managed.

For example, I purchased a 3-unit that required $2,500 in cosmetic repairs for $42,500. It took about 60 days to replace the non-paying tenants and perform the needed updates. It's been 100% occupied for the past 3 years with zero late rent payments. The rents are $375 per unit ($1125 per month). Tenants pay their own utilities. This property is in a middle income suburb with extremely low crime and strong demand for rentals.

Good deals are out there if you keep your eyes open.