Reality is it is irrelevant where the property is located whether the area can be classed as good or bad by someone - the only thing important from an investment point of view is do you have the right strategy to make money from the property in that location.
e.g. you could own 1 property in what can be classed as a good area where you are at the mercy of 1 tenant paying the rent while you are also likely to be negatively geared at a higher rate and hoping for capital gains.
OR you could buy 2 or 3 properties for the same money in what is considered a not so good area, and you are unlikely to have problems with all your tenants at the same time, and you are likely to be close to being neutrally geared or even positively geared from the early days. Lastly you don't need capital gains to make money - that said they will likely come over time as bad areas inevitably become better areas in time.
Frankly I would rather the second option any day - especially in the current economic climate as it is far easier to find people to fill lower rent houses.
