A lot of the flyover states have cheap houses/2-4s but junky tenants and lots of cap/ex. 

Hint: it's not cheap.

It's usually not a lot, but I've had to replace a broken office chair that was only 2 years old, had better quality bed pillows been switched with cheap Walmart ones, and had a blanket go missing. 

@Pat Arneson Flippers want things cheap , fast , and good .

Aha yeah I dont really trust flippers to do the repairs correctly - Even with my own flip I was tempted to cheap out on it but you always pay for it in the end!

I have clients from California who are successfully purchasing flips and BRRRRs here at a very cheap price point at $120k-$180k - positive cashflow and tons of appreciation.

And anytime you have that cheap of lots that are buildable you can get a building boom that will far surpass normal absorption liike what we are seeing now or saw what 3 years ago  or so.. builders / GCs taking on 50 jobs at once with no hope of ever being able to deliver simply not enough subs and such to keep up.  

Repairs and Maintenance are not cheap and shipping carpet/furniture/etc to Hawaii calls for huge price premium so I would be sure keep a reserve for replacements.  

", if you can be thoughtful and diligent and very skeptical, and wait until things are obviously cheap, you will generally outperform 90% of other investors. equation {Buy low + decades} = RichGet a hold of someone on the phone, about the investment, ask a few questions and get their best contact information.

The only thing that saved us is that we bought them cheap but our exit price was not nearly in line with what we thought we would get.