I am on the second floor, which meant that they might be coming up through the pipes or walls, from the basement.  

With my investments, everything is geared towards short-term stays, and I don't worry about things getting damaged because it's all meant to be replaceable.  

That meant going from 100 amp service to 400 amp service from the street, and replacing all the boxes in the basement from fuse boxes to circuit breakers.

Generally, I don't pay much attention to the 1% rule because it is a fairly inaccurate measure and is only meant to give you a brief overview of the property's potential performance.

If its not a finished space meant for living, I would also not be allowing them to use it as a bedroom.

Most likely, they meant occasional subs on 1099s. 

My target market is the tri-state area and the upstate of South Carolina (but my target market will be fluid as conditions change). 

Llewelyn, excellent feedback and I should have included your first comment as a 3rd caveat; "I would add to your requirements that the Investor does NOT need the cash flow" - which I meant to say.People automatically surmise that zero cashflow for the time being translates to speculation.  

And it actually explained a comment I had heard from another agent who gave me a strangely high quote on a property, saying "Oh yeah, that's a tough zip code" - I think what he meant was "for my company".

I didn't pick up on it the first time round because I wasn't sure what they really meant, being new and all.