TeresaYeah, I noticed that too - the properties with the highest cap rate are ones where the purchase price is fake - auctioneers to do to attract attention, even though everyone knows they'll end up selling for more.

I was thinking of buying it and making some improvements to attract more stable tenants.

I think this area is going to be attracting people and jobs for the next several decades.  

I had a chance to look at the house before it even became foreclosed - extensive updating is needed, and there's a problem with septic, disclosed by the owners at the time.Of course, the problem with sitting and waiting for 2nd reduction is that it might get much more attractive to everyone else, including investors.

Offer the seller interest and terms that might be attractive to them, and they may offer to be the bank for you! 

In my area, I definitely have found that mobile homes (even nice newer ones) attract a different class of prospective tenant than my stick built SFHs.  

It seems to work well when you have a higher price point that attracts more senior level members.

@David Marsceau Before you buy, just be sure you've found a community you feel comfortable working with that attracts the type of clientele that works with your personality.

Actually, in Raleigh, I would say it is difficult to get to the 1%, unless you go into less attractive areas.

The fha loan looks good with it’s attractive low down payment, but how long would I be forced to stay there?