Assure them that as long as they're happy living there and pay their rent on time each month, you aren't planning on doing either right from day 1.During this conversation with the tenant, also ask them if there are any maintenance issues you should know about, or things they would like fixed up - this will have the dual benefit of giving you the inside scoop on any deferred maintenance issues that the owner themselves might not currently be aware of, as well as giving you some ideas for improvements you could make that would give you cover to raise their rent in the future. 

It would be very hard for us to improve.

We were saved because it was a high cost area where improvements add a lot of value. 

You know the property can be improved.

", but I am unsure if that only applies if we were to stay in the unit for less then 24 months.We would ideally like to live in the unit for 24 months, do some improvements and re-rent the unit at market rates, but Im not entirely sure what the rules are here.

Having 20 units in a D class area where have of the properties are falling apart and the value of the combined portfolio is 1M is not as impressive as 4 units in a solid A class area that have plenty of potential of improving in value and provide solid and stable returns. 

However, don't OVER improve your property either. 

Focus on improving all those vs just trying to win a low bid.Dallas area is tough right now. 

If you were actually at my event, you'd know that 1) I buy at wholesale prices, 2) I buy for cash flow, not for speculative appreciation, 3) we 'create' appreciation by making value-add improvements to properties, and never speculate, 4) I stabilize properties & refi out my investors in 12-18 months, allowing more predictability in interest rates & loan terms than speculating 5-7 years out like most syndicators do, 5) if the market shifts, I'm at a low enough cost basis that I have many options on what to do with the property (hold, refi, sell, etc), 6) once investors are cashed out in 12-18 months, I'm the only one with ongoing responsibility & liability (even though it's a non-recourse loan there is still some liability I take on), 7) I project for increased interest rates (which actually just dropped .25% last week, btw), lower LTVs, and lower valuations than what the market is showing right now, keeping us at very safe levels, and 8) I only buy workforce A & B class apartments (not luxury, not C/D class) which is the most insulated asset class in real estate.I have NEVER publicly pitched a deal, or even pitched a deal in my events. 

In my experience, once the men know that I am the one who writes the checks, their attitude improves remarkably.