I noticed that the appraisal fee is higher than a typical 1 to 4 unit residential property, and they quoted and Environmental Study fee, which I have never heard of on a 1 to 4 unit residential property.

For example, if local regulations require energy-efficient upgrades, prioritize these changes to avoid fines and demonstrate your commitment to sustainable practices.Case Study: In 2020, many cities introduced rent control measures.

Study what has sold at a solid price and quickly.

One who is active still and recently did a case study write up like this is Don Konipol, the other pops on every now and again and did a BP episode many years ago Aaron Mazzrillo so search those two names and read some threads.A more likely scenario is not what you mentioned as the ever growing note/value deal, at least not as outlined.

But I recommend you study it much more extensively before diving in. 

You should start creating a pitch deck with a financial analysis / summary and market study to share with people to get them excited about the project. 

Study the market.

Study the market.

Once you do get buy something, be sure to look at a cost segregation study for the property.  

@Andrew Slezak  HUD does studies of rent for the whole country and published the MEDIAN rent for every area/county/zipcode in the country.