The play is a 3 to 5 year hold, raise rents to get the valuation up to 600K and liquidate to 1031 into another investment.

I think that would play a big factor in how I would respond. 

It just means landlords and tenants play the game of making the bedroom look not like a bedroom during an inspection.

so, whatever the comps that you need to target are - you go for thosein terms of getting desired rents, certainly finishes will come into play a little bitand then of course you want a safe, high quality rentalone thing to note that is not often pointed out is that, with a BRRRR, the higher you boost the ARV, the higher your mortgage payment is going to be and the lower your cash flowso a few things to consider herehope this helps

Seems to me BP is justs following the same play book as Zillow RE leads..

---However, once you convert a space, like a basement, into a separate livable unit with its own entrance, that’s when ADU regulations come into play.

If saving more helps you put more down on the rental AND you want to buy quickly, consider that route.If you are slow playing your next purchase, maybe you go a different route.Personally, I do not mind being more liquid and collecting interest or investing in the market vs paying debt down, but that is me...

For those following this thread the strategy plays out like this. 

STR market is dieing unless you can play in the 750-1.4M$ price point then there is opportunity, most are going MTR or LTR, we manage a vast amount of properties and see clients switching from furnished to long term unfurnished, lots of data around this...

In that case there's definitely more than just numbers that come into play.