And there are some investors who go for those lesser quality areas, because they have experience in those types of properties and know they can buy there inexpensively. 

•If jobless claims are low (below 210,000): The labor market remains strong, keeping the Fed in no rush to cut rates.

The short version is that you want a strong and diverse job market, low unemployment rates, a growing population, low vacancy rates and new development, affordability/cost of living, real estate laws and court system, good schools, and low crime.Check out the videos from Dave Meyers with BiggerPockets.

I also like contractors that have packets that allow you to pick out the stuff that you want to use for that project, which reduces the quality control process..

The only thing that makes these properties turn key is the fact they are move-in ready for a lower income tenant with low expectations.

Here's the challenge: If the numbers work with a low down payment, why wouldn't an investor putting 20%-30% just buy it and could likely offer more?

Purchase price: $325,000 Cash invested: $2,485 Sale price: $335,000 Low upfront cost due to creative financing.

Most of the time, quality is sacrificed. 

Using 50% rule (expenses excluding P&i is 50% of rent) here are the numbers;1800 (rent) - $900 (expenses) - 1468 (heloc) = negative $568/monthAt your rent point with that size unit, your expenses will ve less than depicted by the 50% rule, so let’s use a likely more accurate 40%1800 - 720 (expenses) - 1468 = negative $388/monthNow let’s imagine you self manage and you time is not worth anything (I strongly recommend believing your time is worth less or worth less than a quality PM would charge) with 8% further reduction so expenses are down to 32%1800 - 576 (expenses) - 1468 = negative $244/month. 

I suspect most who requested cash for keys had previously received cash for keys.What I do instead is explain:- the housing shortage in my market and that an eviction will forever make it difficult to find a quality rental in this market. - I will ding their credit such that all credit cards and other debt will cost them more.- I will keep their security deposit for funds owed.- I will do my best to garnish future wages until their debt to me is paid in full.This has worked 100% time so far.