Commercial properties are not evaluated by "comps" (well not exactly) they are evaluated on cash flow.

For scaling your portfolio, consider house hacking another multi-family property to minimize living expenses while building equity.

Are you looking to qualify for a primary residence purchase loan or an investment property purchase loan?

You have material information that effects the desirability and value of the property.

I definitely want to buy more properties.

For the second property, I would expect to have to put money into it in some fashion.

@Derick JenningsRecommend you first figure out the property Class you want to invest in, THEN figure out the corresponding location to invest in.Property Class will typically dictate the Class of tenant you get, which greatly IMPACTS rental income stability and property maintenance/damage by tenants.If you apply Class A assumptions to a Class B or C purchase, your expectations won’t be met and it may be a financial disaster.If you buy/renovate a property in Class D area to Class A standards, what quality of tenant will you get?

I run Blaze Real Estate a property management company in Amarillo.

. $40k a year for not doing much is a great investment on $40k unless you are putting in a ton of work into the property.Who operates the property?

I can provide support of checking in on contractors, staging rental properties, walk potential leads to give you an idea of the property in person or what the area is like, meeting with agents, and drafting scope of work for projects.