I’m guessing the lender will only take into account the decreased expense of the 4 units?

When credit dried up and property values decreased, those people were suddenly underwater and on their way to insolvency. 

More media exposure, HGTV, etc have increased the demand of "why don't I try that" people so prices on active markets have increased so it appears margins are decreasing. 

I understand their property values decrease, but do their tenants all of the sudden stop paying rent? 

We're at that time of the year where prices are going to be decreasing over the next few months, not increasing.

Outdoor spraying is only temporary, especially with an afternoon thunder shower.

Contractors, although they can be expensive and give you headaches, they are temporary.

In our county the taxes jump substantially the year following the purchases, but then only like 1 1/2% per year after that until a fair value assessment is reached and then slight decreases every year after that.   

My thinking is that there is room to raise rents, perhaps screen for better tenants that take care of the place and decrease the maintenance cost and get the NOI up above $100k/yr. 

This scenario is common among active duty homeowners facing temporary relocation or PCS.