Am I crazy for wanting to tear the roof off this Duplex?

[Ian Broadie]

Hey everyone! I've been working on buying a duplex for a few months now (crazy I know) and I'm coming down the home stretch, but when I brought up my plans to my frugal fiancé she thinks I'm crazy.

Here's the deal: using a portfolio loan, I'm buying a duplex with 5% down for 250k with a 140k rehab loan. It's taken months because this is my first rodeo and putting together the bids hasn't been easy. I want to replace the stucco siding with hardieplank and the flat roof with a 4/12 pitched roof. I also want to replace the radiant electric heat with a mini split system. Those three conversions, along with a 10k contingency accounts for about 65k of that 140k (along with manual labor from me and buddies to remove the stucco). 

This place is real ugly as is (I didn't mention the mansard roof that makes it look like a pizza hut) and the exterior additions would really help curb appeal and thus rentability. Speaking of which, we anticipate being able to rent it pretty easily for 1400 per side and with the fixing up are hoping we could get 1500-1600. With everything our mortgage payment would be around 2500 per month. Not a huge profit margin but I'm okay with it because we will be living in it for a few years.

If we didn't do all the exterior work (kept the flat roof just replace it) and the mini splits and trimmed away all the bells and whistles we could get it down to about 2100 per month and still rent it for 1400. This is a better profit margin, but I'm nervous about having more problems down the road arise from the siding and the roof. I also like the idea of having a nicer home, not only for me but for the tenants I could attract. We also won't be closing until mid October (appraisals are extraordinarily backed up) and I'm nervous about doing exterior work in a PNW winter

Anyway, I'm going back and forth between both extremes here and I'm wondering what you guys think