At this point in time, finding the deals and fixing is not the problem. The issue is finding good renters. SOBman
pretty much summed up my sentiment. You can buy the fixers in the depressed areas or solid blue-collar zones and you will have more problems with the renters. You appreciation rate won't be spectacular, but your cash flow and returns should be nice. In essence, you're trading a little more hassle for a little more return. You'll need to find the right balance, as it's all subjective.
Do not enter this field unless you have a long-term perspective. When you put in hundreds of man-hours for a payday spread out over years, you have to be thinking big picture.
Dabble at first until you find your comfort zone. Don't dive in headfirst and buy 15 properties in the first year. Buy a few, get experience, and then reevaluate. At that time, you might want to trade some less desirable properties for investments aligned with your goals.
If you buy right, and don't piss away your loot on lotto tickets, this is a sure-fire way to build massive wealth.
Jeremy, I strongly recommend you find an experienced agent that deals with investment properties. This is not the time to be training some greenhorn. You can do that after making your first million.
jurgen