In that price range, you have a lot of opportunities. There's no guarantee what the market will be doing in 5 years, but as I mentioned the entire Emory area (and in particular the areas closest to the school) have stayed relatively stable in comparison to other parts of the city. Even with that, however, there are plenty of individual properties with a distressed seller in a hurry that you should be able to negotiate a very favorable deal at this point. As long as you are very analytical about your choice (don't take a property with a strong objection -- floodplain, railroad nearby, busy street, etc.) you should have a reasonable investment potential.
Of course, that doesn't mean that any neighborhood is likely to provide you with the "bubble" type investment returns from earlier in the decade. Those days are probably gone for our lifetime. Still, Atlanta real estate has typically increased 5-8% in value per year for about the last 30 years and since the Emory area is so highly sought after and will remain that way for the foreseeable future, it's certainly one of the safer parts of the city to invest in.
Given your price range, you will have your choice of neighborhoods and homes. Druid Hills is immediately adjacent to the campus and is one of the finest neighborhoods in the city with some spectacular historic homes on huge lots. Oak Grove is convenient to Emory and has a lot of newer construction (careful what you pay -- negotiate a good deal since a lot of this was built during the bubble years). It is a much more typically suburban neighborhood if that appeals to you. Candler Park has cool Craftsman bungalows that have been renovated and easy access to small neighborhood shopping districts plus a great park. Virginia-Highland is a popular area with a business district and a strong nightlife. Morningside is a beautiful neighborhood with Tudor bungalows. Victoria Estates is a ranch neighborhood adjacent to the University with some gorgeous mid-century homes.
It's really going to depend on what kind of house and what kind of neighborhood appeals to you the most. As I said in my previous answer, you'll have to work hard to find a bad place near Emory to invest so just work at finding the place that appeals to you the most and then have your agent run the numbers and see if it makes sense.
Lisa Crowder, e-PRO
Keller Williams Realty Intown Atlanta