I am wondering how much expected weather of an area impacts your decision to invest in a specific area.Recently looked at Census data which shows that people are predominantly moving to Florida and Texas.

After rehabbing, we expect these homes to rent out for about $1,300 per month.Neighborhoods in west Birmingham—like Forestville, Adamsville, and Pleasant Grove—could also fit your criteria.

Additionally, I expect applicants to follow instructions in the advertisement and application, to make and keep appointments, to show up on time for appointments, dress and behave appropriately at appointments, and in general demonstrate throughout the process that they are someone that is easy and pleasant to do business with.

I had a heart-to-heart with the contractor and made it clear what our expectations were and no more money (he was asking for a second payment of a three payment contract) would come his way. 

This sets the right expectations. 

Improvements took longer than expected.

This either sounds like a seller looking to "retire" and liquidate his holdings or a Section 8 owner that hasn't kept the property (or rents) up to market levels.So, based on the numbers you're using, what return (IRR, Equity Multiple, or ConC) are you estimating you'll generate over your expected holding period?

Clear communication on expectations is key—I'd definitely push them to split that $250 cost at the very least! 

Of course, everyone gets to set their expectations.

I don't expect you to be Mother Theresa immediately!