But the best way to get this as high as possible is to at least update something in all the major components of the house

Then look for something that you can buy for lower than the market but rent at or above the market.Also find out what a typical rehab would cost you and break it down by major components (flooring, roof, plumbing, painting, etc). 

This is also accounting that rent has risen to 1,500 in order to finance the unexpected HOA cost that I did not know of. 

They are easily the most critical component of the equation. 

@Eudes De leon I looked their google briefly....it seems 3 resin and 1 comm’l is fine, but....there is a little more to it,  not laid out in straight black and white.It has to be in a predominantly residential use area, the commercial component doesn’t “over power” the residential use/characteristics, etc...as @Chris Mason says, the actual determination is made by the fha appraiser.

Add at least a 10% contingency of total project cost so if overage occurs you will be prepared to handle the unexpected. 

Everything else inside the dwelling structure is a structural component that would be depreciated along with the structure itself on a 27.5 year schedule. 

There will be enough unexpected expenses you'll need to prepare for without staring at this one coming down the tracks and not doing anything about it.

When we partner up on flips we look at it as 3 different components: 1.

What are the basic component of a good insurance policy?