Fix/flip money though falls outside of Dodd Frank and other regulations. 

Now, if you take a deed in lieu of foreclosure, you then own the property as you accepted the property as payment, the lien is extinguished and the borrower abandons any claims of excess equities.The reason lenders have sale requirements is to keep a lender from going into the real estate business, there becomes an incentive to foreclose and go into RE sales, you are a regulated lender, not a private investor.  

Regulators will scream if a bank finances a past problem property without a heck of a good reason to do so.Be it a SFD or especially a multi or commercial property, there is a reason the borrower went belly up, that often has issues with trails leading back to the property.

If you're doing mobile homes without the land, then maybe not - check your local regulations on mobile home sales.  

$30K is not a bad deal strictly based on the current income.

Low int rates, excess paper, less inventory and much, MUCH more regulation are all factors that weren't necessarily present 7 yrs ago.

The property must be held strictly for investment purpose. 

As an example, I'm closing on a property next week in Greeley that's near a university and is strictly for renting to college students.

With those strict maximum rent limits in low income units, it would be nice to somehow eliminate or minimize some of the monthly variables.

Check your state regulations  to confirm that.