No doubt returns like this are possible but you have to come with some sort of value add element.Finding good rental properties on the MLS, paying around market rates for them and renting them out we are seeing returns in the 6-7% range for unleveraged investments.I agree with the others in this thread that ultimately what one has to do is get the ball rolling and its more important to get the first deal done and in the books, roll the learnings into deal two and repeat and so on.  

According to that complaint here is what comes next:They sell you something after fraudulently inflating its perceived value; lend you the money to acquire something worth significantly less than they represented; put a deed in their pocket in violation of state law; and then they default you, take back the property and rinse and repeat.

Bad things will continue to happen and you'll have to deal with them as they come up, but you have to submit to the learning curve, as I've said repeatedly in these forums.

@Joel Owens   Manolo  Joel is correct.. this happens in the new home building industry quite frequently. 

In two years you can hit repeat and move into an SFR that actually has TWO buildings on the lot hence making it a MULTIFAMILY building in disguise.

Not saying that will happen, but its easier to be right on the front end.Also, if you're flipping frequently, I highly recommend discussing the rules of a 1031 exchange and this can be a great tool to deferring taxes on gains associated to real estate.While I do go on record that I am a CPA, I do not specialize in real estate tax transactions as my background is audit (not tax), it's important you speak with a real estate tax accountant to ensure your best interest are met.I hope this was helpful, there are plenty more GL accounts to include and PM me if you have more questions.

I'm in Ohio and frequently go to county auctions in the area.

I would put the greatest energy in finding a prime locationThis more than anything would determine how much you make.Understand who would be  your best customerI would think it's someone who is in a hurry and doesn't have time to get a mealPride yourself on a quality product It has to taste good to get repeat business.  

Currently homes are going ~6% below list.As far as managing our properties we have several handymen, and other services we use frequently for our vacation rental that a PM handles.

Ok, then, I'll repeat my other point:  The large majority of affordable housing in this market has either illegal additions or unpermitted work that exposes the buyer to potential violations.