I have a friend here who has about 140 houses right now, who I was discussing return on equity with.

Smart move. documentation is your best friend :)  Stay safe out there.

@Anshuman ThakurThere are some very good advantages to investing in Nevada, low property taxes, no income tax, and landlord friendly.

I would also find out from your friend if they have increased the rent since that tenant has been in the house. 

Do you want tenant-friendly or a hammer? 

I also hope airbnb does not continue to get less host friendly.  

Everyone says to find properties and build a buyer's list, but neither matter if you can't calculate the repair costs and also get access to a friend or colleague who has MLS so you can do a proper and real ARV (the other part where all wholesalers fail).

Try to get some experience by helping your friend with some of his projects.

My wife briefly help a friend manage their monthly short term rental in San Francisco while they were traveling and have a few friends that do it.Monthly rentals seem to book pretty well, but not at a significant premium to long term term rentals. 

With fully paid-off properties and significant equity, your options are wide open.I had a friend in Connecticut who ended up investing in Phoenix and he was in a situation much like yours - an inherited property and equity to work with.