REO and Rental Market in Atlanta: why so cheap?

[Nathan Cao]

I have been receiving deals through email from an Atlanta wholesaler. It blows my mind how cheap houses are in the ATL suburbs.

Here is an example of a current deal:
I copy as paste from the email.

How bout a 3 bedroom with 3 full bathrooms?

1374 Muirfield Dr
Stone Mountain, GA 30088
3br/3ba, 1452 sqft
Built 1977

Price: $21,500!!
Est. Repairs: $12-$15k(possibly less)
Last Sold for $96,900

This deal is too good to pass up! Located in the Muirfield subdivision of Stone Mountain, this split level boasts a 2-car garage, with breakfast area and bonus room. Daylight basement with a full bathroom. Definitely will give you awesome cashflow or retail for a decent profit. Don't hesitate to make a move on this one..

See video here>>> http://www.youtube.com/watch?v=P_tgg3uRQ9I

For a rental, the cash flow is phenomenal.
Why are these houses so cheap? What's the catch?