You will want to get a house in a neighborhood that is lower middle class where people are working during the day but there is no competition to see who has the best yard.

Please reach out to @Daniel Anshus as he is a well reputable agent in the area.Our market is competitive, but still plenty of opportunity.

In short: very competitive market, reasonably good neighborhood (safe, good schools, etc.), and running the 'numbers' suggests nearly 100% return on capital invested post-rehab (though ultimately I still plan to rent).My question is: All else being equal, how much would you discount the price per square foot given the property's neighborhood? 

It's a competitive market, so you may want to prequalify with a bank that's amenable to doing a renovation mortgage.Also, set up alerts on, say, Redfin for specific areas.

Maybe you're in a heavy homeownership type neighborhood.2.

DM is also highly competitive so make your letter or post card stand out by playing to your strengths and your story. 

Or does my ability to qualify for a mortgage for this type of situation decrease significantly while also increasing competition with other homebuyers?

Has had heavy Air B&B traffic, the only problem is I still live here.

Philly is competitive but it helps that it's a huge city so lots of deals to go around.

@Corina EufingerI have noticed that they are more willing to fight for competitive rates and be more transparent about the details.