You are dealing with the issue quickly and professionally.The tenant told you the home is causing health issues.

There is almost zero chance that you bring this issue to a head and they sign a lease with a good future prospect for the tenancy.

They're usually well meaning, but when they get involved with the leasing process, a repair issue, a neighbor complaint, etc,  it always escalates the issue.

You asked about buying older properties and the biggest issues I have found is that roofs need to be replaced, HVAC needs servicing/replaced, and sometimes there are foundational issues (not super common). 

Thank you all for your comments and for helping me understand this issue better; I appreciate it!

Construction i completely understand it runs in my family. money is not a issue for me is getting the proper knowledge in this field so I do not fail.

If they see that youre generating cash for operations via a non-RE business activity, it could be an issue.

Any advice on how to address this appraisal issue would be greatly appreciated!

Maintenance and repairs typically range from 5-7% of rental income, compared to the standard 10%, as new builds have fewer immediate issues.

They're clearly not having to take any renter calls or deal with any issues.