High cap rates, but watch for the fool's gold(a listing with an outlandishly high cap rate, for instance- on those, you'd be lucky to attain half the cap rate.)If you're not planning on having your boots on the ground, I'd say don't start with a property needing tons of rehab- better to start with a high-quality and high-functioning property, build your team, and then go for a rehab if that's what your goal is. 

Receptacles intended for window-type holiday lighting may be placed under windows.”Even if more receptacles than the minimum required are installed in a room, no point in any wall space is permitted to be more than 6 feet from a receptacle.”In addition in more modern homes AFCI protection is required for bedroom receptacles/outletsand receptacles need to be tamper resistant (210.12 Arc-Fault Circuit-Interrupter Protection & 406.12 Tamper-Resistant Receptacles).Lighting Required NEC 210.7 (A)(1)210.70 Lighting Outlets Required(A) Dwelling Units.In dwelling units, lighting outlets shall be installed in accordance with 210.70(A)(1), (A)(2), and (A)(3).(1) Habitable Rooms.At least one wall switch–controlled lighting outlet shall be installed in every habitable room and bathroom.Exception No. 1: In other than kitchens and bathrooms, one or more receptacles controlled by a wall switch shall be permitted in lieu of lighting outlets.Exception No. 2: Lighting outlets shall be permitted to be controlled by occupancy sensors that are (1) in addition to wall switches or (2) located at a customary wall switch location and equipped with a manual override that will allow the sensor to function as a wall switch.

Overall, the line is in fair condition and functioning as intended at this time.

I can deliver a fully functional Death Star of style grace and location efficiently.

One Idea i had was disconnected this water line from the upstairs bathroom so that the only functioning  bathroom would be downstairs?

I think the smallest bedroom is about 75-80 sq ft. as I have been saying there is economically obsolete  ( many of these older homes that need more work than what they are worth on a resale basis) and functionally ( it appears building the cheapest home to the very minimum UBC code is a prime example.I had a rental up in Kokomo I dealt with that heat was too much in the winter and the tenant said either lower or NO rent or I have to move .

I'm looking at buy-and-hold investments and I plan to start slowly with cash, then expand through leverage as my comfort and functional knowledge grows.

New construction means... no foundation problems, no structural issues, no functional obsolescence.

Property transfers are slowing down, home flips are inflating figures at unjustifiable amounts, and quite frankly, Phoenix is a place where when a recession hits, companies start cutting jobs in backoffice functions first, many that reside here in town. 

I think I will add that functionality to my web app - post to multiple facebook groups and also the new marketplace they have.