There’s a wide range of people that live in that area.

Barry Ratliff this is an interesting concept that will have a wide array of answers.

@Scott LongVirginia will require you to report the rental income from the property in NY because as a Virginia resident, you are required to report world-wide incomeNew York will also require you to report the rental income because the rental property is located in NY.To avoid the "double-taxation", Virginia will provide you a credit for taxes paid(if any) to New York.You are able to withdraw money from the LLC to your personal account.

Andrew Jones You paint the entire Midwest with a wide brush, a common mistake I see from investors who refuse to believe there are areas with appreciation and strong economies there.

Suppose what I'm saying is I would give land deals wide berth at around 60 to 90 days to close.  

@Joseph Weisenbloom... you had mentioned that fully rehabbed properties are going for $200K to $325K... that's a really wide range.If it is on the lower end of that and you'd need to pay real estate commissions when selling that's a much harder decision than toward the top end of that range.For example, if your costs of sale are 7% (which I don't know if that is normal in your market or not) and a sale price of $200K that's $14K in cost of sale plus whatever you need to put into the property to sell it.

I would make sure they knew as much about the deal as you do, and that they go in with eyes wide open to the risks.

The place I'm looking at is a double-wide and has a brick 1/2 front facade and a two room addition.

I think with the market the way it is, and it seems to be nation wide, I want to move more into helping people that are facing foreclosures on their homes.

The best part about this is that now that the rest of the country is hurting just as bad, the banks are feeling the pinch corp wide and have to let these REO's go cheap.