Both examples, are from 3 years ago (2015) and start with the same rent (for this example it is a unit with $2K rent in 2015):Rent Controlled 3% annual increase: $2000 * 1.03**3 = $2,185/month after 3 year (after the 3rd annual rent increase)San Diego non rent controlled actual average increase (which has averaged just under $500/month increase in the last 3 years for SFR): $2,485/month.That is $300/month ($3,600/year) difference in only 3 years time.You could do a tenant buyout of the rent controlled unit but the cost typically is a function of the amount the rent is below market. 

Purchase price: $95,000 Cash invested: $55,000 Sale price: $215,000 Pre-foreclose, elderly person living in the house in a extreme poor condition , we offer alternative for his living , We help the owner with a better place to live , we help the bank by giving them Money for a deal that will take a lot of money to be back and functional , we hale the neighborhood by eliminating a house that was a close to tear down and in a bad shape , What made you interested in investing in this type of deal?

Nobody cares about functionality, HGTV say that's what a shower HAS to look like 😁

@Thierry Lemercier I am not familiar with Avail's functionality, so I can not do a comparison. 

Different codes vary, but generally it means that it has to have a functioning roof, walls, doors, windows, kitchen and bathrooms.

This question is very basic, so you are best off using the search functions to sift through the forums as this topic is covered countless times. 

Clean, functional, well priced units rent quickly regardless of whether they are 1BR or 2BR.

Functioning toilet and shower.

In general for a traditional loan, it needs to be a complete and functional home absent safety hazards. 

The inspectors gonna say yep the cabinets function and no water damage under the sink.