I also agree with Greg in that its best to see it yourself but honestly I am still seeing houses go in a day or two around here and all the wholesale deals are done on the spot so you could end up coming down for nothing(maybe plan a weekend here and look at a lot of homes at once?) 

It can be hard to do a background check on your own and when your in a tight spot like this one.About specifics in Tucson, I'm not too sure what you are referring to, but there are many online background check systems you can use.

You buy an older used home for 2-3 k cash, paint over the wood paneling to brighten the room up, fix any soft spots on the floor, put in some outdoor carpeting, and VIOLA- quick sale for 5-7k, allowing you to build more of a war chest. 

Are you looking for max cash flow or ROI and are you willing to invest in lower quality properties in C and D areas to get it or do you want that sweet spot combo of capital preservation and reliable cash flow in a solid B property?

Nathan,Earlier responses are spot on.

I also went to the owners tax bill address, and I found a decimated shack type property that is clearly housing some homeless people. ...taking advantage of the eminent domain laws crossed my mind until I spotted the piss filled Gatorade bottle next to an abandoned sleeping bag.

Since posting, I've done quite a bit more research and realized I might have to go further out of my hot-spot to find better deals and cash flow + value add opportunities.

It would be a used as a vacation spot or retirement

That was my first REIA meeting and I felt like I was put on the spot!

You spot any water leaks or other issues and then you plan accordingly as to when you want to fix something and also for tax planning.I learned a ton when I had my 20 units from the school of hard knocks.