Did you read the story of Mr. Rock in Salt Lake City, Utah? That is a LPSG area similar to Memphis. Yet, he managed to build 8 figure wealth in that city. The truism is that you can make money anywhere as long as you have the determination. In LPSG area, a 3-4% growth rate may be enough to make money for you if you start to accumulate lots of rental houses. You do have advantages that people in High price High growth area can’t afford to have: chance of breaking even on your rental properties. LPSG area is not low on rental income, that is a huge advantage to have.

Since the growth rate is small, about 3 or 4%, you might need to hold a longer time frame than people in the High price high growth area. Because all your rental properties are running even cashflow, you will be earning money on borrowed amount at a rate of 4%, that’s not a bad return. Over 10 years, you will be as happy as Mr. Rock.

Always remember, even in a LPSG area, general inflation will work. Inflation is in fact your best friends. You basically turn inflation into your favor. The only drawbacks are:
1) You need to find more rental houses to manage, each borrowing at least 80-90% funds from banks. Due to more rental houses to manage, your workload will be higher.
2) Your holding time should be long, must be longer than 10 years.
A lot of people can’t stay in LPSG area long enough to carry out such a plan. BTW, most people don’t realize such advantage that LPSG area offers anyway, e.g., lack of vision. Therefore, it’s hard, but doable.