The home has a basement, which, with some work, can be a 2 bedroom one bathroom unit.

Many renovations and updates are already done (half the windows, all bathrooms, both kitchens) and I love a Tudor.

I recently found an agent who is willing to list properties at a discounted commission for investors in return for repeat business.

Like a $50 discount on monthly rent.

New flooring, new paint, new fixtures, updated kitchen and bathroom.

It cost about $3200 (they will send you a discount code if you look at it a few times) and had 6 classes all 2 weeks long.

This can quickly help you figure out if you are paying a premium or a discount for the expected future cash flows of the asset.When you pay more for an asset, (lower caprate) you assume the risk is lower.  

I’ve heard for AirBnBs the bathrooms don’t matter much and we plan to put money/ focus into the living room, kitchen and outdoor space.

Especially when it comes to bathrooms and kitchen.

You mentioned things like adding a 2nd and 5th bathrooms as well as repairs on house 1 (did you do all of them yourself?)