There were a few holes in the wall from where they hung a flatscreen TV but I asked the tenant to spackle them - along with all other nail holes - and they did.I guess it is safe to assume many of you are experienced landlords?

Doesn't sound like you got nailed too hard.  

I'm assuming that pre-foreclosures are in the same boat as well.Actually, pre-foreclosures are in more dangerous waters, a short sale the bank just won't go there, screwing around with a foreclosure takes on a blend of federal compliance and consumer issues, cause a delay and you can get nailed.

You also need to get your "pitch" nailed down and know how to talk about the topics which will "excite" this seller. 

The property you mentioned at a 5 cap on current income the key would be what is causing the 25% vacancy?

Originally posted by @Mary Ann Casey:My go-to spots have been Home Depot and Lowes, Oakland's Habitat for Humanity,  I agree - Habitat for Humanity usually has really great deals - we were able to pick up some $40 light fixtures for $5 and $75 fans for $10 - many things you can find are still in good condition - they have great deals on nails , screws, used paint ( it's not in the shape of a house)  etc.  

Lots of people aim for a 10 cap on parks but personally I think that's tough to come by especially up here in our part of the world.  

Getting too wrapped around the axle about finding the ideal first deal is a good way to miss the game because you were too busy sitting on the sidelines wondering when to enter.sounds awesome. the second half of your post is nailing where i'm at right now: figuring out when to jump in based off of knowing that something decent is in front of me rather than waiting for great numbers in particular. my goal is to have something during first half of next year and not blow it, basically. if i break even, or anywhere near it pretty much, then i'll be happy cause of getting over the knowledge/fear/hesitancy humps.

@Mike Wood you hit the nail on the head about the comps.

Say "I buy houses" and eventually, not ever buying a property, you may get nailed for false advertising, see what the FTC has to  say about that!