Used enirely OPM to buy this one, and borrowed money from a family member who is in commercial real estate to do the renovation.

This results in smaller annual deductions.- No bonus depreciation: Unlike U.S. rentals, foreign properties do not qualify for bonus depreciation.

If you have any experience or knowledge in the Memphis area, will you please share your insight as to whether this is a normal fee breakdown or too much.

Depending on your flavor, this could be good or bad.Connect with a great property manager early on, as many won't work just any property in any part of the City.Being an east coast city, our housing stock is fairly old and unless it's been properly rehabbed, will have typical "old house" maintenance.None of this is meant to discourage you from investing in multi units in Baltimore, but I'd try to set realistic expectations about the market here.TLDR; we have a wide variety of "multi-unit" structures in Baltimore.

our market is in Columbus Ohio and we are currently doing infill as a strategy. single family home by right can be built on any infill lot in columbus but for multifamily this strategy becomes part of entitlements and rezoning. 

This is key to being successful.

I think it's fair to say it's beyond normal wear and tear, but I'm not sure how much is fair to say "I'm going to have to deal with this somehow, and because of the scratches I'm deducting x." 

Not only is it a recreational source but it is a climate moderator.  

How did you find this deal and how did you negotiate it?

Right now, I’m actively learning and planning to start my first projects this year.