If you're not a full time builder, you're going to have a really tough time building a house and turning a profit.

Also, you should look for opportunities to buy below market and force some appreciation, so that you are not 100% dependent on cash flow to make all your returns, you will be insulated to some degree from short term market fluctuations, you create multiple profitable exit strategies for yourself, and your cash flow numbers should also improve to boot.

Take the profits (from cash flow/refi/or selling the deal) and put them passively (LP) in other deals so your money is constantly working for you.

You are correct SD is not the best market for SFR total profits.

If i had to pick it would be under 2M$.Im looking to get properties at a discount to rehab and increase their value.Any other major details i should specify?

Majority of the deals are buy & hold with some flipping involved.

After paying for the water and the electric, what's your profit/load?

I am not suggesting to buy a home around several vacant houses unless you are going to buy the whole block and change the neighborhood, but buy on the fringe (corner lot maybe or by a major street or highway).

@Henry Perez just curious what kind of net cash flow/profit are you expecting on a 100 unit Central Valley property?

@Michael Biggs I just drove there today and there is still water in the majority of the streets.