There's definitely cash flow ops, but obviously appreciation is pretty limited. 

If you only have a couple thousand in the bank, you're pretty limited in what you can do, unless you find the alternative financing options that so many on these forums discuss. 

This included application, background check and an in-person meeting.

I would recommend you talk to @Tim Swierczek about financing options, most people finance their first property under FHA which is fine however it may limit your ability to expand. 

Jim you keep doing these post like this and NO ONE is going to buy rentals ever again LOLbut seriously I like that you balance out all the blue sky and bring reality to the equation.buying rentals is not a set it and forget investment no matter what.can be with really special A class to strong B class but no way with blue collar 800 to 1000 dollar tenants.. don't care where how or what.. they are all people. some are pigs some are clean and neat some in the middle and you can't tell with an application .I suspect if you took the time to go check out their automobile before you rented to them.. or did a sneak pop in on where they are living now before they move into yours you might catch the pigs before they move into your freshly rehabbed home.

I am not limiting myself to Washington, if there are good deals in other market areas I am willing to check those out!

Fairly straightforward process like a conventional application.

Hey @Paul Zackey and @Alex Cornwell,I have Limited experience, but I know a few contractors who do it (I cant personally reccomend) and a mortgage officer who is very familiar with them.

So after you're done rehabbing, if you transfer title back into your name, you'll have to wait an additional 6 months (unless you want to be limited by the purchase price as your value).

In the Denver area the trend is for the larger municipalities ie Denver and Aurora to limit STR to primary residences or stays or 30 days or longer.