@David C.: It certainly could be a side business, I'm sure!

With C class, the easier it is to maintain the better, and shaker cabinets are in abundance so if you have to replace a door or drawer in the future that makes it easier.

What I'm getting from BP is it was code in '97, have never had any electrical problems, all appliances and a/c's are new and functioning well, so if you want you can do that on your own dime. 

For example a C class rental in my market is on average functional but VERY dated looking like the finishes are from the 1970s or early 1980s.

For example,Late RentInsufficient FundsUtility ReconnectionReissue CheckA/C Clean ViolationPest ControlRenewalMove-Out AdministrationUnlock RequestKey RequestFailure to Return KeyPilot LightingGrilling ViolationGarbage ViolationClogged Drain / Tub / ToiletWindow ScreenHurricane Shutter ViolationSmoking ViolationLease Amendment AmendmentPet ApplicationUnauthorized PetGuest ViolationUnauthorized OccupantInspection (due to tenant violation)Yard RemediationPool RemediationSmart Home Device TamperExterior Maintenance ViolationParking ViolationCommunity Amenity ViolationMarketing (tenant early termination)Notice (due to tenant violation) PreparationNotice DeliveryLien ViolationSubleaseAssociation ViolationEviction (not including attorney’s fees and eviction costs)Rent Verification10.

The 100 year old C/D 2-flats are dreadful if you have to pay contractors, or frankly even handymen (unless you know enough to give precise direction).

Your options are A) look at pathways for getting you on the mortgage, B) live with the marginally higher rate and possibly refinance once you're income is more stable and/or if rates were to drop, or C) buy the rate down to whatever number you want. 

Looking mainly Class C or Class B properties - professional, students, small family renters target.

This would be my first experience with a lower income area/C class property .

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