Funded in part with private money and the balance with investment partners, the project created profits in excess of $200,000. 

Depends on your goals, your timeline, the amount of money you are planning on investing, the cash flow it generates, if you are married or single, your annual income, your tolerance for "tenants, turmoil & toilets", and a couple of other things.

With each sell we have been able to make some profits which has given us hope that this is something we might be good at with an actual investment property and not our home.

What kind of income doesn't currently generate or what kind of income could it generate?

Houston has enough profitable development projects to pick from.

Also 2-4 unit BRRRR's.I'm using MyREIPro.com for list generation and to send out the direct mail and like it so far.List generation: I either do Absentee Owners with >50% equity OR drive for dollars and lookup the owner's contact info. 

Even the best tenants will break things.Food for thought...If you are going to rent it out, your rehab numbers would be lower since you wouldn't be putting in the best finishes (for the same reasons as above).Doing a flip will kill you on taxes and eat into your profits due to the short term gains.

If you’re setup to deal with it at scale it can be profitable.

Live in is a good strategy especially if you will live there for 2 years or longer (section 121 of the Tax code) you will not pay tax on gains up to $250K single or $500K married, keeping that in mind markets change, so consider where we are and where you think you will be 2 years from now. also consider if you are there less than 2 years the gains are taxable at a very high rate about 1/3 or more of net profit for most people.

This means that not only does it need to be a profitable deal, but one meeting guidelines that give us confidence that a rehab can be completed not just quickly but properly and that the property can be listed and sold within the time frame of the loan.