With the limited inventory of Bank Owned and HUD foreclosures the prices keep going up. On the opposite side of Atlanta where I live in Athens and Barrow County prices HUD homes are listed the same as every other home on the street. Yes it is a HUD and probably needs carpet and paint and a bunch of other stuff, but people think they still must be a deal. You might get a small discount, but likely not enough to flip because of needed repairs. The deals happen when you make a much lower offer to the props that have been on the market for awhile. Awhile meaning 2 months or more, and it might still be listed at the same number as the first day. Go in low with cash offer and you can wholesale to someone else or close on it and flip it.
Keep in mind some buy and hold investors might pay just a bit more for deals. In Atlanta there are still plenty of HUD deals so you have to make a lot of offers.