Are you within city limits and are building permits required?

@Robert Goldman, would you say that those results/issues are based on your location, or is that what you have observed from multiple places/opinions from others?

Now the issues:- at that rent point, $725 unit, the 50% rule likely is not enough to cover actual expenses- that rent point, $725/unit, reflects poor historical rent grow.  

That might give you some experience running a house, hearing what people are willing to pay for rent, management issues and all the other things involved. 

Does Vesta profit when the $5,000 lien is issued as a tax deed for $20,000, or is the person bidding on the lien trying to protect the potential profit?

If you decide on the Midwest, I recommend not buying Class C 100 year old homes (what I did)  - there are issues with things breaking down, crime (stolen AC unit). 

There are lots of issues that can pop up that are out of your control with the HOA but affect your guests. 

No regulations other than getting a short term rental permit which costs $150.

I haven't had a single issue or complaint at any of my units in 10 years.

The large scale BRRR can be tricky, but having a JV from the start will help.My clients down in GA are doing well with a BRRR centered strategy, but focused on one, or both of these things to cash flow quickly:1) 2-4 unit properties2) Section 8In most lending circles, your 2-4 units are going to be classified in the same category as a SFH, so to rehab a hand full of those, you don't take the same kind of rate hit as the 5+ unit properties, but you also don't have the same kind of "experience" issues as you do with larger developments.