Finally, if you rent the house out, when you sell it you'll have to pay capital gains on the appreciation.   

Hello,I've a deal that came across my table for which the expenses are 80% of the annual rent.

The final factor will be your personal preference.

I reside in the area and have done research on the rental rates...and that upstairs unit can fetch $900.As for living in the unit in order to qualify for FHA...that's off the table

LOLUsually I just press upon the fact that, hey seller this is my final and fair offer.

I usually set up to pay in thirds. 1/3 upfront. 1/3 at drywall and the balance after final inspection. 

If you do the demo and final touches on one house, maybe on the next one all you need to do is a walkthrough beginning and end and that will suffice.Best of luck! 

Without upfront costs being correct your calculation will be downfall on final analysis.  

I think it would be better to see the inside (after they have gone) before finalizing your offer and how to structure the payment.

Since September I've read over 50 of the self-taught, self-motivation, just about every book that has been in the final four of the podcasts or recommended resource books on the site, I've read.