They will have the systems and experience that goes the xtra mile to uncover as many unknowns as possible, get as close as possible to reliable numbers, and know what that work and energy and execution is worth, which I know to be $$$$.Otherwise, it’s just a gambling exercise between less experienced guys or frankly ‘advantage takers’ hoping they are something they aren’t, and there’s no cheat code to that. 

If you want to take that gamble, then that is up to you.

I do know some investors that try to buy things at assessed value assuming that 20-30% ratio holds true but without more information I associate that strategy more with gambling not so much investing. 

I learned early on from reading blogs such as investfourmore.com that gambling on appreciation is just that, gambling.

Blindly investing in a new market or industry is a gamble; even if it's worked for others.

(Fortune does tend to favor the rich).Only YOU can gauge your tolerance for negative cash flow while waiting for appreciation.For those of us who are paupers, we HAVE to invest for positive cash flow EVERY time (until such time as we can AFFORD to gamble on future appreciation instead)!

If you are willing to bet 25% of your own money, you will have a much easier time finding someone willing to take a gamble on your skills and bet the other 75%, but if you have nothing to put in, what is in it for the lender?

I figure the crack dens will get bough out eventually and I have been lookign on the borders of the hood areas like you said, its just a gamble and waiting game.

it's gambling.

It may be a great employment market, but if the cap rate is below 5%, then you are hoping for a speculative value increase and that is educated gambling.- Location, Location, Location - Drive the neighborhoods and see if it is what you are looking for.