One issue is the bad folks out there that will buy these terrible properties and them sell them to un suspecting forigners who then get blamed for not maintaining their props.. when in fact they got swindled... :) but when your talking about 20 to 30k houses being over priced and no value then your talking about the worse of the worse in housing stock.. and I am sure these are ghetto type locations. or war zones.

Other issues in Lease 2 Own to Protect you the unsuspecting Lease 2 Own Home Buyer:* Giving the seller too large of a down payment. * Failing to get a title search. * Not protecting the title from liens and judgments against the seller. * Not making sure the mortgage payments on the underlying loan are being made. * Not getting several months before having to make the first payment. * Not getting the seller to sign the disclosures that protect you. * Buying properties that need too much in repair work. * Dealing with lower priced properties. * And not doing the proper research about the market you are buying in.

I had a cat with kittens locked in a garage once, it was all a scam to get cash for keys since they read online that animals+power on=occupied.   

Are "hard money loans" and "bad credit mortgages" unrealistic for most people, are they scams, or are they really for short-term flippers with big $$$?

We welcome any not scam folks to make contact with..We have found many scammers and some legit.

My question is how would I proceed to effectively aquire and rennovate the property without getting scammed?

When we start talking several thousand is when you start thinking scam.

Do these people seem like scam artists?

I don't mind posting a surety bond , but concerned about getting wrapped up in a some type of scam somehow..

I have also been contacted by several investors from Colorado who got completely scammed from Turn Key companies in Kansas City.The most important thing for you to do is background check everyone you plan to work with and get an opinion of value from somebody who doesn't have a stake in the transaction.