We also want to undertake the occasional flip in the near future.

It might happen here or there, with an occasional investor, but it isn't something you can make a "business" out of.

@Alan Miller are you considering using this vacation rental yourself occasionally?

You typically have to move quickly to get them but occasionally you'll get a really good property.  

The rate is occasionally around .75% lower. 

It might be misguided, because I'm comparing it to living in San Francisco, where everything is MEGA expensive, and some homes I owned in FL where there were super high landscaping/bug prevention/occasional hurricane costs, but I like not really having to worry about the exteriors or the roof and feel that that HOA is a small price to pay.

Plus, I would imagine turn key providers are able to get better pricing vs. someone who does occasional rehab. 

I have a close friend who's a property home inspector specifically for properties that are either in pre foreclosure, foreclosed, vacant, & occasional insurance claim properties. 

Occasionally I'll have someone call who said a friend saw the ad and told them to call.

We manage over 1500 units, and OCCASIONALLY we will have a situation like this come up.