Let's assume an 800-900 sqft condo.Property management - maybe 8-10%Expenses - Very tough for me to estimate, would love to see some sample models from peopleVacancy - would probably just assume ~ 8% or 1 month of rentCapex - Since HOA would probably cover roof/exterior type deals, capex here would likely be just bigger items like HVAC, water heater, Q1:  Per above, I assume capex is generally lower when HOA fees cover some of those items?

Where I live, there is a every-three-year exterior inspection, and an interior/exterior whenever a house is sold. 

Everything from roofing, gutters, exterior/interior paining, landscaping to woodworking and tiling.

Would be looking for moderate cosmetic repairs such as new appliances, basic kitchen rehab (cabinets, backsplash), new vanities in the bathrooms, paint (interior and exterior), and if the budget allows some basic landscaping to give the house some curb appeal.Also, if you're able to recommend some good contractors in Bridgeport I would greatly appreciate it.

Perhaps you've taken a look at the exterior?

In installing, the contractors drilled through the exterior vinyl in order to add duct work for external venting. 

So I'll first lay out the basics of the deal... and then pose my quandary..... that felt like an elegant sentence lol. 2 unit building near major medical/college campus'Last 5 sales on street for similar properties- 350k, 350k, 450k, 405k, 505kARV- we'll say 400kSeller Finance TermsTerm Length-5 years, with option to extend 2 more years at 2% higher, 1st yr int onlyPurchase- 235kDown Payment- 15kNeeds: 85k in rehab-mostly exterior and some cosmetic insideTenants currently pay $950(two bed 1 bath) and $740(two beds one bath)-- The owner doesn't use 3 bed rooms upstairs-- he used them for storage.

Would require new interior paint, exterior cleaning, flooring to replace carpet (when home is vacant)From the surface this looks like a good deal but I am only starting to learn about this market.

When you have the 1st & 2nd floor exterior walls insulated you need insulation between them in the floor joist area only along the perimeter and it only has to come in as far as the thickness of the framed walls.

Don't count out a home with one larger room, that you can add an exterior entrance to (cut in a door where a window is at present) and create a studio with kitchenette.