Take AirBnB as an example: no one previously thought that a mass market existed for homeowners to let strangers in their homes, or for strangers to rent their space hotel-style.

The neighborhoods you look in will make all the difference in you analysis.

with that said, should you increase your down payment to mask flaws in an otherwise terrible deal - an alligator that will eat you alive with deferred maintenance that is in a worse neighborhood than you think, but an agent sold you on it because it has new countertops? 

Two weeks later, the client locked down a deal that appraised well above their initial projections.If you’re serious about pushing your boundaries..maybe setting your sights on Chicago’s undervalued neighborhoods or San Antonio’s quieter pockets..let’s talk.

Buy the worst house in a great neighborhood and fix up.  

There is a story to every pocket of every neighborhood that locals will know, but you may not, if investing out of state or in a market you don't know.

The key is really focusing on the right neighborhoods, knowing your numbers, and being patient for the right opportunities.As for the fix-and-flip market, the lower entry costs can definitely make it a great place to start, but you've got to be mindful of renovation budgets and timelines.

I’ve found success by focusing on emerging neighborhoods, avoiding flood-prone areas, and exploring short- or mid-term rentals to tap into the steady stream of tourists and business travelers.Good luck!

Talk to some of the Realtors in the city and ask them to define where the neighborhoods are and which neighborhoods they think are best.

Quote from @Donald Hatter: Pros:- Builders have many homes to sell at one time so it is easier to negotiate a better deal than with a home owner in the same neighborhood who is trying to sell their primary residence - Buyers bust out of deals all the time and builders don't like holding completed homes- Lower maintenance which leads to easier property management expenses.