The last think you want to do is to put leverage on one of them and then need a new roof or furnace.

Its easy and cheap to insulate accessible locations like an attic and since heat rises and the sun beats down on your roof the attic insulation is probably your best bang for the buck when insulating.

Also remember it will take time to get them done, during which the home is vacant and not on the market.People shop with their eyes-so many don't care about stuff that is really important (plumbing, electrical, roof, etc). 

I believe setting the precedent upfront solves what could be serious issues before they even apply by giving them a rundown on some of the big key aspects of what the process looks like a head of time.Big indicators are verification of identity and verifying the references for documents when needed.

I like nicer houses that just need paint and flooring or maybe a roof.

Building Details:- 2 on bottom 2 on top - 3/1.5 ba 1100sqft - 7 yr roof - prob $35k - 50k total work/updates to make awesome.- Neighborhood ~ C- but a C- area here doesn't mean too much, smallish town ~ only about 50k peoplePurchase Price: $660,000Appraised Value at Purchase: $730,000Interest Rate: 6.625% - 30 year fixedDown Payment: 10% / $66,000Cost to Make Rent Ready: $14,000P&I - $3803 T&I - $898Total PITI - $4701/moCapEx, Vacancy, Maintenance - $1099/moTotal Monthly Costs - $5800/moCurrent Rents - $3800 (3 units)Fair Rents ~ $5000 but will likely only charge ~ $4500 to start.

Large projects such as roofs, repipes, or HVAC only get about 50% - 75% of the actual cost.

Account for costs associated with capital expenditures such as the condition of the roof, foundation, and HVAC.

Reserve funds should handle a major cap x like a roof, plus money to pay the bills while the work is being done as a tenant likely won’t be paying during this time.

Now the minimum standards your basement has to hit for it to be able to count as assessed sqft not estimated is a height of 7 ft, a point of egress (bilco doors) and a window usually in the rear, It's one of those things where if your going to go through the process of digging out a basement you might as well go for it and dig it deeper then 7 and closer to 8 ft so you actually stand out compared to the competition.Now the other side of this coin which I would suggest is if you're willing to spend 40-50k on a basement dig, consider adding a 3rd story addition if your a 2 story (think master suite, walk in closet, master bath) or an addition off the back and add a roof deck if your a 3 story (either master suite or just additional bedroom).