While the initial ROI may look good on paper (and the wholesaler trying to sell it to you will make sure that you see that) there are a lot of extra costs that come with owning these types of properties... less stable or capable tenants, longer vacancies, more maintenance, higher reconditioning costs, more likely to have evictions, etc.

It's much less stressful than having to deal with toilets and tenants, but you don't get appreciation.  

They're less likely to sell their paper, which means it doesn't have to conform w/ any underwriting standards other than their own.

(example is toilet was clogging and seemed to me that they were not holding the flusher down long enough to get enough water to fill up the bowl and flush.

On lower end homes he also uses this to "Paint/Primer" over wall paper.  

(I apologize for the format; my copy is in columns and it did not transfer very well.)Move-Out Charge SheetCleaningClean refrigerator $25.00Clean stove top $10.00Clean oven $30.00Clean kitchen cabinets $30.00Clean kitchen floor $25.00Clean kitchen countertops $15.00Clean tub/shower surround $30.00Clean sink $15.00Clean toilet $20.00Clean bathroom cabinets & floor $20.00Window cleaning (per window) $10.00Vacuum/sweep through dwelling $40.00FlooringRepair carpet $85.00Replace linoleum $6/sq. ft.Replace floor tile $75.00 ea.Replace laminate flooring $10/sq. ft.WallsRemove/treat mildew (per surface) $15.00Repair hole in wall $55.00Repaint (per wall/ceiling) $40.00DoorsReplace door (interior) $165.00Replace door (exterior) $485.00Replace weather stripping $25.00ElectricalReplace light bulb $3.00Replace light fixture globe $20.00Replace light fixture $65.00Replace electrical outlet/switch $15.00Replace electrical cover plate $2.00PlumbingReplace kitchen faucet $150.00Replace bathroom faucet $105.00Replace faucet handle $20.00Replace faucet aerator $10.50Replace shower head $27.00Replace toilet $175.00Replace toilet seat $25.00LocksReplace key (door or mailbox) $10.00Replace cylindrical door lock $35.00Replace deadbolt lock $25.00Windows and Window CoveringsReplace window pane (single) $75.00Replace window pane (double) $125.00Replace mini blind $20.00Rescreen window screen $25.00Replace window screen and frame $50.00MiscellaneousReplace refrigerator shelf $25.00Replace stove/oven knob $20.00Replace plastic countertop $275.00Replace mirror $45.00Replace medicine cabinet $75.00Replace towel bar $25.00Replace shower curtain rod $25.00Replace shower curtain & rings $13.00Replace shower/tub enclosure $350.00Replace thermostat $80.00Replace fire extinguisher $30.00Remove junk and debris (per area) $35.00Replace smoke detector $15.00Replace combo detector/alarm $40.00Replace alarm battery (per battery) $2.00Replace drop ceiling tile $10.00Replace wireless doorbell $35.00Replace portable window screen $10.00Actual charges may vary based on condition and/or vendor bill.

I have one that looks great on paper.

It might be confusing but just list the pro's and cons on sheet of paper and run the numbers for rental and you will be clear. 

If you have the time, and are handy, and want to save on money I would rent the belt sander from home depot, the one that uses the round sand paper ( not the flat square one). 

I would recommend asking the following questions:- How long they've been in business- What is their source of funds (some pretend to be lenders but are actually brokers- Ask references for people that have used them- Find out what they LIKE to lend on (they all have their favorite)- Do they retain and service their paper or will it be soldBest of luck!