We just finished remodeling a duplex.

If you buy a house with it being an investment mostly in mind like adding sqft, adu or remodel and this house is located in a top appreciating market then it probably will turn out well or better than just renting.

It is already remodeled so no work needs to be done on the inside, just power wash outside .It is a 3 Br, 1 bath SFH.

Many homes recently redone or in the process of being remodeled.

In TurboTax I entered the amount for this in the section for remodeling costs. 

The rental income is 3500 and should be 4000 once remodeled.

Outdated electrical(my dads a LU38 sparky & I'd be calling in my 1 favor on this one) , full kitchen & bath remodel plus rest of house is 100% cosmetic rehab. 

Although I’ve thought about getting a conventional loan on a fixer upper then paying out of pocket for the remodel and renting it out.

Many first time buyers out there do not have the extra cash to remodel which is why they prefer a turnkey project. 

I usually recommend that out of state investors do not take on large projects until they are confident with their teams, but I have plenty of CA clients who have purchased moderately distressed homes and put a $15k remodel in.