Good summary of what your market is looking for but as we all know, each market tends to have its "wish / want" items which differ from market to market.Flow is definitely a selling point but make adjustments come with a cost. 

The property taxes will be on his Schedule A during the time the property was his primary residence, assuming he itemizes.

There are two items that you need to completely solve this problem for your rehabs: properly built Design Boards and a Finish Schedule.

I think you will definitely want to talk to your lawyer because there may be items linked to this transaction you are not considering. 

Roads, water, sewer, gas, electric, etc..I'm also here for any discussion on any other items that might be of note, trying to learn as much as possible on this front.

An example was a line item for alimony (I am single and have never been married).

So using your words "Lockup" the property but make sure your offer includes due diligence items to protect yourself.

We created a model for our investors that show AAR/IRR/EM but also what that does to your capital in $ terms. 

Realistically we will be getting closer to retail pricing although we are are looking at some off market properties to try to get a discount.In terms of cash flows, from the modeling I have done, there looks to a decent amount of cashflow on these properties when modeling at retail so I am curious why there would be no cash flow on BRRRR strategies?

Due to item 1, adding an ADU can require years to start achieving any return (once the accumulated cash flow recovers the initial negative position).4) Adding an ADU is a slow process.