Question: assuming an ideal brrrr that has all investment extracted at the refinance, why would you choose a low cost market over a high cost market?

That could make financing the rehab a little smoother.3.FHA 203(k): If the rehab costs and scope fit within the FHA guidelines, refinancing into a 203(k) loan could work.

FlooringScope of Work:Replace carpet in bedrooms with engineered hardwoodRefinish existing hardwood floors in common areasInstall durable tile in wet areas (bathrooms, laundry room)Estimated Cost: $20,0004.

No management costs?

With that being said we tend to see a lot of CA buyers relocate here for the lower cost of living including lower home values, property taxes, insurance, no state income tax, gas prices etc.

I had to go that far away due to the insane cost of real estate in Boston, so I fully understand the predicament.

However, co-living allows you to acquire properties with as little as 0%-5% down, drastically reducing the amount of cash required.Instead of needing $100K+ to buy a rental, a co-living strategy lets you start with a fraction of the cost while achieving higher returns.3.

How much upfront costs are typically involved in a project before you know if it's a viable project to pursue? 

Also, how much did the electric and plumbing fixes costs?

You would need to bring everything up to code currently and that's going to be cost prohibitive.