Comps have been running higher lately,Pushing 185-195.

As much as MHP makes since, dollar wise, cities dont like them any more and are pushing them out.

Always good to see success stories to push us newbies to keep going!

Since the seller and you seem to be at a stand-still I would try and push the important things on the list and leave out the less important. #6 is an easy fix and isn't costly so I'd forget about that one, as well as #3 (the water heater - especially if it's still working - the seller will probably not want to credit you for it - plus it's not a very costly replacement). 

Therefore, if push came to shove and the owner of the encroached lot next door demanded removal (far fetched but possible, and the very reason why people demand it be title insurable), the lot could be denied a building permit unless the owner obtained a variance.  

If so, I’d still push back on the negotiation since there is a chance that the seller will face the same issue with someone else at this price.

I probably should simply keep pushing through but deals get more intimidating the higher you go shaking my confidence in the numbers when it comes to making offers.

@Rajesh T.You shouldn't be taxed twice on the sale of a rental property.Normally the sale of an investment property is two fold.Capital gains taxDepreciation recaptureDepending on your tax rate - capital gains tax rate is either 0%, 15% or 20%Depreciation recapture's tax rate is capped at 25%It is true that selling an investment property with a large gain can ultimately push your other income to a higher tax bracket.

Based on the market, it seems impossible to get close to the 1% or 2% rule.I have been told that the market looks like it is going to appreciate a lot since a lot of people are getting pushed out of Bend because of the high cost of homes and rentals.Would love any advice!

I would push forward?