We will be absentee investor/owners but of course will travel to the markets when necessary. 2) We are particularly interested in C-grade homes/condos located in B-grade neighbourhoods. 

I HAVE considered STRs as well as Med-Term rentals (travelling pros) and am not opposed to them, but it's an area of real estate I know far less about. 

Set your travel boundries first... local, regional, state wide, multi state, etc. 

I'll check on the rent, it would likely be medium term as it's near a hospital and several schools for students/traveling nurses etc.

When calculating cap, and other deal analysis criteria, none of them talks about how to assess the property in terms of its appreciation based on structural quality such as brick exterior versus vinyl.

The money is just the “fun tickets” and a measure of success in solid investing, but what I really love about real estate investing is the freedom it provides – money, time to spend with family and to travel.

Here is text taken from the HOUSABLE website for Oakland:Utility ConnectionsCategory One: No new or separate utility connection shall be required.Category Two: A new or separate utility connection may be required, but the connection fee or capacity charge shall be proportionate to the burden of ADU on the water or sewer system.Here are definitions of the ADU categories from the City of Oakland website:CATEGORY ONE ADU: Involves either conversion of space within an existing Single-Family Dwelling, or conversion or rebuild of an existing accessory structure; includes no expansion of the existing building envelope other than up to 150 sq. ft. for purposes of accommodating ADU access and egress only.CATEGORY TWO ADU: Involves construction of a new detached or attached structure, including an exterior addition to an existing structure to accommodate the ADU, in conjunction with a proposed or existing Single-Family dwelling.It seems that Oakland is making things confusing with the language they are using, but I still believe that my original interpretation is correct based on the State Assembly Bill. 

During this time, inspect any agreed repairs, inspect all appliances, check whether all doors and windows are secured, working properly, or to your satisfaction, belongings of the seller are completely removed, check for signs of mold, check electricity and outlets, and inspect the exterior & backyard.

Same here...I wanted to go but am already traveling a lot this coming week.

Each room has its own exterior entrance from the breezeway.The current owners have operated it as a bed & breakfast the last 12 years, with breakfast served in the main house which is also their primary residence.By my analysis, revenue from the 5 rooms could cover the debt service and operations of the whole property.