Bought under assessed value, slight value add through cosmetic rehab (paint, light fixtures, flooring) What was the outcome?

Have them clean up, Paint, and learn. 

I would focus on homes with dysfunctional floor plans.

The property seems to be in good shape and will requirecosmetic rehab.  5/3 house 2600 SQFTWe will need a new AC, Kitchen upgrade, bathroom upgrade, flooring, painting, andcarpet upstairs.  

When I looked at the house they kept it very clean.

LL would have no incentive to paint, update flooring, etc.  

Now what you should do is contact the title company and confirm if title was going to be clean and marketable.

My contractor has gotten impatient waiting for him and has started taking matters into his own hands (he did the jack hammering of the floors which my plumber said had "complications" and would "take forever to get through"). 

What I'm planning: buy and hold the property, brush and clean it up with intent to hold until cost of funds drops a little in 4-6 months.

A complete overhaul of the kitchen and bathrooms, including cabinets, countertops, LVP flooring, electrical and plumbing fixtures.