Currently work a day job and have no capital to start off with.

Also, if you are a minority, WRA has the Partnership for Success program, which helps pay for your start up costs.

I never took action and started doing deals.

Do you have experience “flipping” or managing rehabs, or hands-on?

Many newer investors have to start somewhere and older more-beat-up homes are cheaper and can help someone get their foot in the door.As for appreciation, this too is location dependent.

While we were onboarding the property to the system and trying to figure out the automated sprinklers, he was out there every day watering the lawn by hand, stopping the buck and taking personal responsibility. 

Starting with your wife and possibly your kids depending on age (for example, they can help clean between tenants, this starts  their education [Check with your accountant because you may be able to pay your kids and take a deduction].- - While you will do the lion share, can you take advantage of your wife's talents and availability?

I am passionate about Tiny Homes, I started just by helping more people with creative floorplans by self teaching myself CAD design so I could help more families.

You could use a HELOC from your primary residence to fund renovations and rent out the vacant units to start generating income.

Quote from @Daniel Tanasa: Hello Terry, If you're looking to find houses that are in pre-foreclousure you can use a website like www.foreclosure.com and you can get the list of properties and start marketing to them.