If you're into making major repairs, then go for it. It's just that you don't make nearly as much money as people make it out to be. However, that being said...
We picked up a foreclosure home last summer on a sealed bid government auction. It was a mess inside - truly disgusting. BUT...it was only built in 1994, so the structure was solid, which left us only with resurfacing (paint, flooring, some new doors, electrical fixtures, stained the fence), and some landscaping work. It was HARD work to do it all ourselves - believe me! But we did come out very well in the end. It's a huge risk, really, and we're glad to have cleared what we did - there were times when we thought we'd barely make a dime on it. If you plan to have everything hired, don't do it - you won't make money on it. The only reason we did so well was because we did all the work ourselves.
My MIL does this regularly and almost 100% of the time she loses lots of money doing it.
Also, don't do this if you can't fully afford to pay both mortgages very comfortably. (Or rent and the mortgage) You may have to be prepared to sit on the house for a while with the market being what it is.