I see better diversity, but I'm trying to understand the ROI.

What does being nice get you when dealing with desperate people?

Nice house, but it sits on a corner lot and lacks an ideal backyard.

I did not actually see those properties so I don't now good of a deal those were but I did check out a nice house that would easily fetch close to $600,000 in the open market, that sold for $440,000.This is a tendency I have seen already so I am now working in pooling money to have access to the bigger, better deals. 

You can even have both meet and play nice in the sandbox.

@Sidney JohnsonReal estate investing in New Jersey is a diverse field with various market conditions.

If I could go back to my younger self, I would have told him to "get your head out of the spreadsheet, everything is going to be okay, and buy a nice place in a nice area". 

Creative wise, I would say having a nice interior design,something that’s more than the normal furniture or décor.

Plenty of job growth, plenty of population growth, diverse economy, newer homes, landlord friendly, and so many other factors. 

As long as you are willing to play the long game you don't really have a reason to be overly nice or flexible with this tenant.