How hard will it be to bet appropriate permits for the alterations (2 rooms and bathroom). 

In this couple’s case, painting the house white and adding a bedroom were game-changers.Prioritize high-impact areas like the kitchen and bathrooms, and add to the home’s curb appeal.

This is a great forum with very knowledgeable members that will help to guide you in the right direction.There are some pretty cool discounts on various products and services offered as Perks to BP members that you might want to check out: https://www.biggerpockets.com/perks/pro

However, the bathrooms were outdated. 

If you have inspection you can decide to walk losing ED if big issues are found or you can use your inspection to try to get a discount even with no contingencies.  

Sounds interesting, how does it compare to the other note buying courses out there - I have taken a look at some and they feel they are not worth the money.Is anyone interested in selling it at discount?

In my personal opinion, if I was renting a room with a group of roommates, I would want more than one bathroom for 4 rooms.

I'd love to find you deeply discounted properties

As if its prepaying a portion of rent at a discount. 

I would encourage you to read the full offering document, there should be details on how the profit is split, are you able to liquiditate early if you need (can you sell your shares even at a discount?)