I have been going through entitlements for clients for the last 5-6 yrs to allow substantial/major renovations and new developments.

It is hard to justify an expense that would eat up all of a majority of your cash-flow.An investor doesn't necessarily need 'any' professional but it really depends on your knowledge/amount of time you have.For example, technically, most people may not need a painter as the tools are available to them in Home Depot or most stores.

@Samuel Eddingeri skimmed the posts you referenced and... i just don't see illegal immigration as a major contributor to housing unaffordability. 

It alleged that the NAR and several major real estate brokerages artificially inflated commissions, with the requirement that sellers pay both the listing and buyer agents' commissions.

Due to the bias against low down payment loans from sellers and sellers agents these buyers end up getting the worst of the houses.  75% of the multifamily market in Worcester was built between 1890 and 1920 and have major issues. 

Are there any major red flags that I need to consider with this strategy? 

If you are buying from a major oil company, their contracts are extremely complex.

Majority of my clients haven't had to fly out to take a look at the properties they purchased.

Saint Louis, MO is the closest major city.

In the majority of fraud or Ponzi Scheme cases the common theme seems to be that the money is mostly gone, and whatever is left runs out before a large portion of the victims are made whole.