Be able to distinguish between good operators wanting to help and those that have something to sell.

Hello , Sorry I am new to real estate world , and just try to learn.I noticed your reply , pleas can you explain more for property clasiffications and how we can distinguish between them , based on prices , locations ..etc or other factors included.

Try to distinguish between good operators giving advice and those with something to sell.

It can't distinguish between nice or ugly, a factor that a prospective renter may pay more or less for.When my clients call me to suggest a rental price, I use several tools to make that determination. 

@Noah Condon,I want to add a few thoughts here before you set up an entire REI model on flipping that just happens to be structured in a way that let's you navigate around 1031 exchange rules:The IRS wants to clearly distinguish between "dealers", such as residential home builders, and long-term investors.

It is definitely not my intention to take us down that rabbit hole.But to really answer the question (why it morphed just to TX law I have no idea) you can't  just distinguish a cited case because the facts differ from those in OP's pattern.

Hi Scott, The biggest distinguisher I've seen is that they must accompany the person at all times.

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Any tips on how to find or distinguish cash flowing properties besides the 1% rule?

Why make it even more complicated by trying out an unproven concept instead of going for the tried and true, at least for a first project.Otherwise, it’s awesome to be bold and original and your idea to distinguish yourself from the competition is a great one generally speaking.