At that point your return on investment drops significantly and it is extremely hard to recover the majority of your purchase price and rental expenses with the refi.So really, the BRRRR method enables investors to access cash flow in a hot Market when it usually wouldn't make sense.

The latter will allow you to hit the ground running once you decide to actively pursue properties which could be a major determining factor in landing a deal in an area you desire.

Like most new investors I have some major qualms about investing to far from home.

It sounds like a FT job to manage the property fixing things. 5% of 360 days(18 days/year) with major overhaul sounds low.

Not only that, but the unit needs major repairs and the tenant is not "quality tenant" material.

The majority flock to the turnkey markets as you are.

It seems that a major point got left out of all the other responses...

It's still my favorite strategy and the one I use a majority of the time, with a few fix & flips sprinkled in.

@Alan HowardWelcome to Bigger Pockets.There are meet ups in most major parts of michigan; depending on where you live;  you may be able to attend these real estate networking events. 

You can negotiate around some but in the end the investment is worth it to know if there are major issues.