I am not sure what companies are quoting you, but you should shop more.Make sure to have the location of where is showing the cracks so you can get a more accurate repair estimation.I have some contractors that I can recommend.

Hello,I bought a duplex in Pensacola $75,000 under appraised value, in an amazing location.

Location shouldnt matter too much for the lender.

How do you go about finding areas to invest in with limited capital?

Would it generally be a location that tends to have a higher cost of living? 

Unless y'all have an incredible W2 to help with the purchase, you will not find something that "works" in the Triangle and in a good/safe location.

At over 4000 sq ft, I'm surprised you won't be able to list for a much higher number to net a decent profit, but without knowing more specifics on the house and location, I am speculating here. 

Your new place should turn into your new business location as well. 

Now like magic that $22k roofing job turned into $12k-$14k. 

Would need to know about locations of your buildings and current rents to see if there is anything that can be done now to get numbers a bit better.