Be mindful of short-term capital gains tax, as profits from flips held for less than a year are taxed as ordinary income, and frequent flipping may result in self-employment taxes.While profits from flips do not qualify for 1031 exchanges (since flips are considered inventory, not investment properties), you can minimize your tax burden by deducting allowable expenses like renovation costs, loan interest, and holding expenses.If you're considering diversifying into rentals, explore opportunities to benefit from long-term tax advantages such as depreciation and lower long-term capital gains rates.

If you're goal is a long term hold, you're almost certainly going to do well even with a market rate deal in any of those states.

Sometimes the long term capital gains are palatable and it may make sense for you to pay the tax rather than force a bad deal.

Quote from @Jake Bute: Good Afternoon,I listened to Wheelwright's podcast the other day discussing how short term rentals do not have the same rules as long-term rentals when it comes to some of the tax laws around active/passive investing.

They can cause more damage and they can stop paying the rent costing you a lot more in the long run.

Why do you think purchase contracts are so long and have such small print?

If you can purchase the land yourself that will go a long ways, however it is possible to get the bank to pay for the land and use your "GC fee" on the build as equity allowing you to start with very little capital (10k maybe), typically the lender needs to have a relationship with you for this though.If it were me I would find a potential lot for sale, get some plans, and get engineering done so its ready for permit. 

Start to evaluate deals based on the income approach and you'll do much better long term investing. 

Dave,Sorry I took so long to respond. 

Many experienced investors are humming a long similar to prior to the rate hikes.