They advertise the houses as being pre-let to section 8 tenants, and are recently painted / improved inside.

not really. i think a good inspector will catch the same things for HO or investor. a bad one will miss-inform both types of clients. just watch Homes Inspection and you will see crazy stuff inspectors miss.having said that, i never hire an inspector. i know more about houses and home improvement than 90% of them. by the time i place and offer i have already inspected the house. i put "no inspection required" and they think i am nuts. one more way to sweeten their "deal" and make them accept my offer.

I have been around a lot of condo projects and I've never seen one that has run efficiently and not had special assessments eventually come up.

I'll echo some of the earlier comments : "over-improving" a flip.

Back end can technically go to 45%, I think, but only if excellent credit and compensating factors that will improve the ratio in the next 12 mths, for example.

If this were a true statement then you would make the most profit by spending $0 on improvements.

Jeff, doesn't your real estate give you an inflation hedge, and at the same time gives you income, leverage, and tax efficiency?

All the cities I dealt with viewed a moved house as new construction, i.e. house had to be brought up to current codes including latest energy codes.

My ROI went down a bit, but my quality of life improved 100 fold.

I can assure you that it will improve your life!