I suspect a lot of these buyers that intend to fix and flip will lose money on a lot of these homes because their mistakes get amplified by their already low price. 

Some told me that they don't loan in that city and others told me the value was to low.

With all due respect to the development big firms out there, my project is very small and I believe I'd be best served by a small firm or even one-man shop, and frankly a bigger firm will likely not have time for a small deal.I simply need a low-cost conceptual plan that I can use for marketing to builders.

Not really because the price you typically get with a REO is not low enough to wholesale.

They are a very good brokerage with low expectations from you, hey are quick to respond and the tools they give you are great.

I do not have personal experience investing in flyover states, so take this with a grain of salt.This is my 'gut reaction,' which could 100% be totally off & I'll defer to those with actual experience 100%...Any place you are buying that has tenants paying 2x in rent what they could otherwise pay in PITI because the [ $70k * 3.5% = $2450 ] down payment is too much of a down payment for them to save up, isn't exactly going to have high quality low maintenance intelligent people as tenants. 

Remember a property is an investment with upkeep and maintenance costs.

It is different if you are the owner as you have the risk, maintenance, cap expenses, etc.  

You also must consider your understanding of the intricacies of managing a property yourself and whether you have the skills to manage a manager.Do you know anything about property maintenance, are you at all experienced or handy with tools. do you understand the functions of the different buildings trades, do you know the costs associated with the trades.If you have not been hands on involved in managing your own property it is extremely difficult to manage a property manager.

the necessary repairs are as follows:  water heater missing, furnace looks old. paint all rooms, new flooring needed in most rooms, ( something i can do myself), recondition kitchen, replace entry doors. the house already has a newer roof and newer vinyl siding, virtually no work necessary on the outside. given my rehab skills, nothing will need to be contracted out, so i am able to save a tremendous amount of money on the rehab, which is why the following rehab number is so low.