Start by buying the ugliest house in the best neighborhood. You’ve heard this before and it’s simply true. You want to find the home that has the best per square foot price. But try and find the one that needs cosmetic changes unless you really know what you’re doing. Avoid homes with major structural problems or mold unless you understand all the risks and the spread makes sense. I try to avoid bad neighborhoods… even if the house is a good deal, it really is still all about location, location, location!