@Joel M. - I agree with the others that more details are necessary in order for anyone to provide any sage wisdom. As someone on the verge of their first deal and making a very similar decision to yours, I can contribute this....
The one complaint I consistently hear is that good contractors are nearly impossible to come by or that it takes a long time until you find one you're comfortable relying on.
Also, many rehabbers/turnkey investors already have a line on cheap properties, bulk material rates and a crew at the ready, so sometimes what you're paying to them (60k, for example) will end up being less than what you'll pay to rehab a 10K place yourself and you can have it rent ready right out of the gate.
Depends on if you want to get down and dirty and learn all the hard lessons up front on this first place. If so, there's untold value in that as well.
Again, depends on your long-term goals, your ability to hunt deals and your familiarity with the city.
Best of luck! Let us know what you decide!