Are Good REI's Tough to Find?

[Dustin T]

I try to scour local listings, craiglist, MLS (although I don't expect much there) and every FSBO sign I see. I do not find real estate that has positive cashflow opportunities within even 1.50-2hrs of where I live.

In fact, almost without fail, it seems as though every potential investment I find would rent anually for about 5% of what it's worth. Example, a $200,000 house would rent for around $900/month. Clearly not enough to even break even if you have to finance it. And if you DIDN'T have to finance it, you'd be just as well of to dump $200k into a CD it seems.

What am I missing? I have seen some rehabs with potential, but they have needed MUCH more than I'm capable.