If we build more, dense, "dormitory-style" housing or similar, we can more efficiently house people, bring down costs, and everybody wins. 

Not to say you cannot find a deal in many of those states but for a first time investor wanting to be cost efficient it makes little sense to stick to those states.You do have states like Indiana, Ohio, Tenn, Florida, Georgia, Texas that offer higher inventory of home prices even 2-4 unit multifamily that are under $200K.

First, I’m not really seeing enough cushion in certain popular areas for investors to realistically hit a 30% profit margin.

I’m looking to connect with those of you who are actively using or interested in the BRRR (Buy, Rehab, Rent, Refinance, Repeat) strategy to scale your rental portfolios.Whether you’re new to BRRR or a seasoned investor, I’m here to discuss best practices, potential local opportunities, and ways we can collaborate to make your investments efficient and profitable.

This method offers greater efficiency, ease of use, and reliability.

However what happens when the tenant vacates and now the unit has to be turned over/takes a few months to find a new tenant and during that same period of time the sewer line goes and you get hit with that $15,000 cap ex expense in addition to the vacancy and turn over costs.

I'll admit, I spent the better part of one year in 2012/2013 looking at properties and putting in offers, before one finally hit and I've been off and running since. 

Quote from @Elijah Edwards: I am hitting a roadblock in finding deals...

I just had a realtor come over who suggested I demo them and put in wall mounted armoires that have external doors that have doors at least 2'4" by 6'8" so that I would meet Oakland's definition for a closet and allow my bedrooms to meet Oakland Code and regain much needed floorspace and get much more efficient closets. 

Tough hit, great attitude.