While I don't do rentals myself, my brother-in-law does... I can tell you that I would avoid the really bad areas. It may be attractive to get housing that's really cheap, but it's not worth the headache. He had 20+ rental properties in Section 8 areas and it ended up being a nightmare... Plumbing and appliances were getting stolen, it was hard to get rent on time, and there were constant issues... He ended up just selling most of those houses.
Brian R. Baker, MBA
Texas Housing Partners LLC