Does the one-year-wait restriction (upon completion of renovation work) apply to homes paid for by cash and NOT financed, or are some deed restrictions applicable to homes sold to potential flippers irregardless of the source of purchase capital?

Read HOA bylaws, some restrict owner financing and lease options

If I tried to sub divide the city wouldn't allow it bc restrictions now would only allow one house on that lot.  

Restricted to 10% of income or net worth, whichever is lessSo, an individual with a net worth of $5 million and a yearly income of $100k would only qualify for a maximum investment of $10k?

Ronald, I don't' remember how many non-occupied loans you can get before credit restricts, and it varies a bit by lender, but it is between four and ten properties.  

Make sure you set things like max/min price, sqft, bedrooms, etc. to attract the properties you really want.I made the mistake of not setting a price restriction and was getting calls on homes that were almost 1mil in an area where most homes are 200k or less.

Some have restrictions to the number of rentals in the subdivision.  

Most have restrictions against it, as owners do not want strangers coming and going next door to them. 

If so, you have an option to keep laundry on each floor and restrict access to tenants on that floor.

The major drawback I can think of is higher HOA fees due to salt water damaging exterior building and heating/cooling units, as well as higher flood/hurricane insurance, or higher reserves needed for potential future storm damage.Some HOAs have strict restrictions on rentals near ocean to protect long term owners.