The fact that this is a growing technique indicates how unfair the Landlord-Tenant laws are.

That is not 100% true.

  $50/sqft for a full interior and functional update, $100/sqft for a full gut down to studs, $150/sqft for newcon .If these numbers make sense I would want to visit the property for a true estimate, where it would be line item work scope development. 

Is this true? 

That is 100% true of this contract. 

I am now keeping away from funds that are leveraged so high and chasing yields that are too good to be true. 

True!

Quote from @John McKee: 7% is better than a DST, but look at mortgage notes as they provide a higher return and have no acquisition fees, capital calls etc.It's true that you can get higher current return with notes, but there is no upside upon exit. 

@Rajagopalarao Paidi  some areas of the country it is perfectly normal for foundation issues given the soil types and building techniques of the time.

I remember a presenter in a real estate class recently saying, 'Buyers are liars, and sellers are even worse,' which got a good laugh from everyone because it rings pretty true in this business.