They can dig up incredible deals that are then passed on to you.

@Richie ThomasThinking through this after what you mentioned I think the owner is scared to sell it outright because he would be in hot water due to the condition and the tenants are likely not safe to what the county would expect.

It evolved into a site that offers it's users incredible searchable market data which can be filter to create very targeted lists.I'm not pitching the site and don't stand to benefit. 

You basically bought 2 houses in a really hot area for $187.5K each.  

I also sit down with the tenants while signing the lease and have them initial, in blue ink, the "hot buttons", i.e.: no pets, maintining property appearance, etc.

I know the market is hot out in California.

Power doesn't back feed but loose neutrals cause one hot to over volt and one to under volt.  

Also Plaza-Midwood and the surrounding neighborhoods are hot or becoming hot.

The north Dallas area is so hot right now it will hard to find such a property on the MLS.

Hot Intown areas will be higher- based on supply and demand.