Make sure you have reserves and try to stay loyal to quality contractors.  

I am seeing the same things in Denver and also have reservations about investing in properties that my analysis using the BP calculator does not project to cash flow. 

If you don't have significant experience,  capital and reserves I wouldn't touch it.  

Thanks everyone for the input...The house was auctioned last week and ended at 45K...Reserve not met...ARV is 130K..If Wells Fargo is the lender, then, could there be any back taxes or a second lien on the home, or does the lender , Wells Fargo, handle that?

I want my properties in an LLC because I want the asset protection and I want the layers between myself and my rental units but I don't know how to set this up without greatly impacting my reserves!!! 

Once I got my license and had living reserves, I quit my job and went out on my own. 7.) learned the market I was in by learning about the rental market and was able to determine what was desirable and what wasn't 8.)

I'm scheduled to put my condo up for sell, however I'm having reservations. 

If it covers water/sewer and garbage, as well as landscape and reserves for repairs, I'd say it's collecting way too little in reserves.  

Also another deal might come along or you might need reserves to get long term financing if you change exit strategies for some reason.

You may want to seriously consider reserves, I wish I tried to fight my way through that at the time but I had a whole new life to prep for and put all of my efforts into IT industry rather than banking some more military time.