Those aren't going anywhere so there's a strong economic base but also looking at the city logistically it has all forms of transportation with a high volume of traffic coming through.

Looking for safe, growing areas that aren't too overpriced yet.

Once you rehab it and maybe put $50k of "sweat equity into it", it would be worth $200k, but they would sell it to you for $150k seller financing after the down payment.So, on the surface it sounds great because you aren't coming out of pocket, but in reality if you have the means to close the deal in cash or with any kind of financing like a hard money loan you would likely be better off. 

In that these aren't on the stock market, what prevents the shares in your funds from being diluted or split down to being worthless, or being raided and rendered valueless? 

If you guys don't have a lot of MFH in the area, you could potentially look at other markets or have an agent reach out to all MFHs that aren't currently listed and see if any owners would be willing to sell. 

Review each cities Codes before getting too far down the rabbit hole so you aren't disappointed when you're under contract or post-closing.

So, they aren't in a position to take a property back if the buyer doesn't perform.

If yours is the only STR within 20 miles and there aren't any cities or larger towns within a 20-30 minute drive, you could easily run into trouble even finding a reliable cleaning person, let alone a full-service STR management company.I would also definitely take the time to find some comps on Airbnb in the same area as yours, with as close to the same bed/bath count as yours, and with the same finishes and amenities as you are planning to put in yours.  

They'll also confirm there aren't any other liens or encumbrances on the property that need to be disposed of pre-closing.   

Appraisals aren't guarantees of market value, so unless you can prove some kind of fraud here you're going to be out of luck.