Finding a property with a garage or convertible income-producing space sub-$300K will be your biggest challenge. 

I have been offered an exclusive Deal by a local "friend"/ semi-mentor in my small town.  8 standard 2/1 apartments -  Quad, duplex, duplex, 1970 Dated buildings, little neglected but liveableOwner finance: 20yr 6%rate with 20k down------------------------------------------------Total purchase 400KCurrent NOI: 41k     Cap: 10         (Tax,Ins,Maint, Util)Gross rent 4500/mth-----------------------------------------------Upgrade, Est repairs: 60k After reno: NOI: 59K   Gross rent: 6100------------------------------------------------Loan pmt: 2865/mth,    34k/yrCurrent Cash flow: 531/mth,  6,378/yrAfter reno Cash Flow: 2131/mth,  25,578/Yr-------------------------------------------------Added info- -Property line Joins with (growing) Community college-Tiny town-The Buildings are Currently "uglyish".- Current Rent is 150$- $200 behind market avg.I am very comfortable in single family homes in this town (own 18 SFH rented and performing well).

They think the job is easy, quote too low, find out it is not, and produce low quality to make up the time it takes to actually clean properly. 

Even if it's a nice home, without being able to produce the income your expecting, it's likely going to be a losing investment. 

Very difficult to analyze just because of a lot of gray areas - my numbers do not produce cashflow.  

Your credit and the income that the property produces will be a big component in how high of a loan to value you can finance. 

Most lenders will require a 15-20% down payment assuming credit is strong and property can perform from a producing income standpoint.  

Your post comes off as someone who made a very unsophisticated deal to try to make a tiny spread and wound up incurring costs and liabilities they didn't anticipate.

I have seen a couple of new-build STRs that need refinancing, and they were hard to finance due to their being tiny homes, cabins, rural multifamily (with no comps), etc. 

They are often used to finance large, income-producing properties and offer competitive interest rates and longer loan terms.