To pick a location, I understand I want to evaluate median income, a large population of those approaching retirement age, and a decently dense population.

(I couldn’t find if that was a nice gradual increase or mostly done in 1-2 years.)

Whether you are getting a continuous stream of income depends on the deal.

I charge fees that create additional income.

I had dreams this was going to be the start of income each month with very little work.

Also, I'd lease out the other bedrooms for additional income as well as practice screening, leasing, and interpersonal comms.  

However as you correctly point out this is far more risky and or its risk capital compared to buying a income property.. but the reward can be strati-spherically higher .. not just a little bit but it can be life changing profits on some of these deals.

I'm curious what anyone here thinks of the owner financing terms.Listing Price: $374,900Down Payment: 25%Term: FlexibleInterest Rate: 6.25%7-year balloonThe property's net income over the past 3 years is averaged at roughly $42k per year. 

Financial PlanningCash Flow: Compare your estimated rental income with your mortgage and other expenses.

To calculate the cash-on-cash (CoC) return for the rehabbed unit, take the annual rental income from the newly rentable unit and divide it by the capital invested in the renovation.Formula:CoC Return = (Annual Rental Income) / (Rehab Cost)This will show you the return based solely on the funds you put into the rehab.