Like if the AC's on the 2 units were 25 years old, but somehow still running - you may not want $10,000 in AC replacement expenses the year you buy your property. 

We need to replace Fed with AI or automatic policy.we can't keep 5 people BS-ing the entire population of planet earth.

It also allows screening for future tenant replacement. 

There are a lot of variables involved so its hard to see unless you run the numbers especially since you might replace this home with 2-4 units and where the loans on those new properties would be at a higher rate.

Hard wood floor replaced all carpet in the house.

I always, ALWAYS go financial first, replacement second, and if IF there is not a really good concurrence there than I add in comparable solds because in commercial there is rarely an accurate comparable sold far as "like kind" is concerned.     

Prior to purchase the roof was replaced as was the water heater.

This would put the replacement property interest in the strongest asset and creditor protection scenario.

They are financial nightmares and very challenging to repair and replace the roof underneath.

@Amy Konopka- 1) you might   ask  present heloc  lender if they can  offer a  new / larger  line ...2) assuming they cant - getting a new  heloc to payoff / replace an  exisiting heloc  should be  fine  assuming you qualify for one     3) many lenders  have  max  limits  on the heloc amt  - often  250k 350K  500K etc ......4) most  heloc lenders  will use a  CLTV  ( combined loan to  value ) max of  85-90% of value  ..thus getting a  huge heloc for all of your  equity isnt  ikely to happen