So far he has replaced the address numbers for both sides, repainted the threshold, re-caulked around the bath tub, painted around the entrance, and has now paid someone to mow the lawn when it is taken care of by someone else, he said it was looking shabby.My question is am I in any trouble with them doing all of this work?

Also have you factored in lawn/snow removal?

Very hard to argue that housing is not at least a little bubbly given the artificially low interest rates and massive unemployment.  

Nicely trimmed bushes , fresh mulch , and a clean uncluttered lawn make a good first impression .  

The tenants pay for all utilities, and lawn care.

Built in 2002, it is a fully rented four plex (one unit is month-to-month so we would move in there).Current asking price: $495,000 (though originally listed at 474k, he upped the price after 16 days)Days on Zillow Market: Over 100Reason for Selling: To either purchase a SFH for himself and his GF or buy a commercial property, possibly storage unitsRents: 4,400 monthly (Owner said 2 units could be easily increased by $50 to $75 each)Expenses (annual)Property Taxes (assessed 2014): 7,754Insurance: 3,000 (guess)Maintenance & Repairs: 4,200 (guess)Utilities: 4,500 (average for last 18 months from water company, owner currently pays water/sewer/trash but there are separate water meters so we would look into passing this to the tenants as the leases expire)Advertising: $150 (only advertising is for new tenants when leases expire)Administrative/Misc Costs: $150Mortgage Insurance: $6,501 (from mortgage broker at 490k loan level)Snow Removal: $1,500 (as acountants, our busy season is during the winter and we don't have the time or patience to deal with this, there is a sidewalk + steps + driveway and back parking area to be plowed)Lawn Care: $150 (supplies fund, we will mow it ourself, first year expense of a lawnmower not included)Mortgage: 26,579 (FHA, 3.5% down, 3.75%)At 495kAnnual cash flow: $-1,684CoC: -9.72%NOI: 24,895Total ROI: 40.89%At 450k (keeping mortgage insurance at 490k loan level b/c I don't have other numbers)Annual cash flow: 762CoC: 4.84%NOI: 24,895Total ROI: 55.54%As it stands, my numbers are telling me this deal will not work, given the $100/mo/unit minimum standard most people are looking for here.This is the first deal that I have really looked at though as seriously buying, so I would love other people's opinions on my analysis.

A different defect was discovered some months later when I refinanced, and that took a while to resolve.Why is it you're responsible for insurance and the lawn if the title wasn't transferred to you?

This could cause confusion about possible current values and does this affect online comps and artificially inflate what the current market value may be?

Unfortunately that is owned by a Lawn Service company.  

We may purchase appliances such as the stove, lawn mower, washer/dryer ...anything not permanently  attached to the house.