Normally these paths will cost a bit more in financing cost, however you can get the deal done.  

If this is the same Tax Title Service based in Costa Mesa that I dealt with once, they are not shady.

Here are the numbers.Purchase Price- $330KClosing Cost as buyer-$1KRenovation Cost- $105K Holding Cost- $18KMisc Cost- $3kClosing Cost as seller-$8KSales Price $475KNet Profit- $10KThe experience I am about to share only applies to the New York Queens Market. 

I also went to college before it cost a lot, not that it is mandatory, and I got a business degree that emphasized real estate and I have thought that real estate investment might be something that I could do now because of its flexibility.It is great to hear that you and your husband have got into it allready.  

McKinney, Arlington, Ft. hood/Killeen are markets I know have great potential for small multifamily, depending on your strategy.I was just in Costa Mesa/Newport last week.

These areas cash flow better and don't cost as much which means you can buy more and diversify.

From my understanding replacing the insulation in his apartment would cost a lot of money.  

Those things do not cost a lot to do.

Some homes are just really really ugly, not in the fixer upper sense, but just some awful 1970s design that would cost a fortune to rectify.

a house on that condition will need a real inspection to actually see what is needed and even then you will have things come up that you didn't know about until you opened a wall, etc,,my first impression is simply, what will it cost,,a LOT,,,