Money isnt a huge issue, I would be going into the purchase with personal savings as well as a gift from my parents.

Starting out turnkey seems like a solid way to begin, and it looks like you got the right mindset and expectations going forward.

He inherited the property from his parents years ago. 

Account Closed you should read the book E-Myth Revisited to flip your mindset.

Good morning,My parents are currently renting out their 70's era manufactured home.

As a parent of a son who is starting his sophmore year at Indiana University Bloomington this year, I thought about doing this for him. 

My parents have a small portfolio of single family homes that have all been paid off this past year leaving them with about a 1.5 million in equity and have HELOC's are in place on a few of those properties.  

I see them paying anywhere from $450+utilities to $700+utilities to rent rooms without a pool compared to paying $800-$1200/mo for 4/4 apartments.Some students who rent rooms come from families with money so their parents can co-sign as well.

It is basically impossible for anyone here to afford real estate except for wealthy overseas investors, those who had houses handed down to them from their parents/family, and the top 1% of income earners. 

I think if you have the mindset you are replacing a hotel no sheets seems weird.