It seems that most folks don't just want cheap, they want cool, or unique. 

NJ is good market, but unique.  

Another unique angle you could take would be to target SFR's built after 1960 that have bonus in-law units. 

Shiny Object SyndromeLow Bid SyndromeMagic Bullet SyndromeI’ve made myself victim of some of the above.

Myself I did not find any of it as new information or ground breaking in content what so ever, ground breaking in delivery and distribution to the mass's, but I have the unique advantage of coming from entrepreneurial family, the vast majority of persons do not have such a vantage point. 

There is one element to this that is unique to REOs - especially in SFRs, not that Rich is wrong there's just something unique here you should know about.

Each closing is unique - mine have varied - one day you may have to pay 2K to close, another day you may get paid 2K to close.

That whenever any Form of Government becomes destructive of these ends, it is the Right of the People to alter or to abolish it.But, when a long train of abuses and usurpations, pursuing invariably the same object, evinces a design to reduce them under absolute despotism, it is their right, it is their duty, to throw off such government, and to provide new guards for their future security.Thomas Jefferson - The Declaration of Independence

This, joined together with the improved credit, will get you moving into deals.If you focus, and don't get "distracted by shiny objects", and stay the course, can take very little time to accomplish.

I believe he does loans in all 50 states, and has some really unique mortgage products too that a place like TD Bank wont have.