Also, the listings I have received these offers on are all in a good part of town, priced competitively with comps or a completed appraisal, and either recently renovated or not needing much updating. 

There are facebook ads almost daily.The competition is fierce.

If it were mine I would replace the roof, including any roof decking underneath the shingles that need to be replaced, and look into the cost of doing a ridge vent at the top.As far as the air conditioning system , you might be replacing a well built heavy duty unit with something that has a much shorter service life and instead of using freon it uses some incredibly expensive chemical . 

This could suggest a shift towards a more balanced market or even a buyer's market, where there is more inventory available and less competition among sellers.The Median Days Homes are On the Market is 18, which is relatively low and suggests that homes are selling quickly in this market.

But I feel the competition is not as much.

In that case, of course we're selling at market price since all the heavy lifting is done for the investor.The scenario @Paul Sverdlin mentioned is a bit insane as it sounds like the provider is putting the rehab on the investor but also taking the equity.

But due to the above factors- we're still in a hot and heavy seller's market, with no real relief in sight for buyers (add to that, with the new Burnett / National of Realtors settlement, they will be squeezed even further, having to also potentially shell out their Buyer's agent fees, which, traditionally, have been added into the seller's listing price before listing to provide to the Buyer's agent).

Quote from @Jacob Sherman: ground up construction is always much cleaner . in a fix and flip there are many unknows that may pop up after the demo stage is complete  this guy knows what he's talking about. forget fix and flip. new construction also appraises 20% above at least existing depending on age plus land cost is cheaper and less competitive, especially in markets like columbus 

I’ve got a distressed and on-market house that was recently completely renovated until the couple ran out of money (all of the heavy lifting has been done, just a few things left), and it is listed well below market price compared to surrounding comps I could find.

Our economy is doing very well and Toledo has a very rental-heavy housing culture.