I'd wager that you might be able to get good returns out of there, but on the other hand, I'd be careful of any rent control laws that might kill your return.

From what I gather he is trying to control the market growth and enforce rent control.

Asking Price: $575kIncome:Gross Rent: $8000 (fully occupied)Laundry Income: $175P&I: $3225.53Vacancy: $817.50 (10%)CapEx: $408.75 (5%)Repairs: $817.50 (10%)Management: $800 (10%)Taxes: $416.67Garbage: $90Water/Sewer: $80Insurance: $672 (Replacement cost valued at about 900k)Misc: $355 (Pest Control/Lawn)This obviously doesn't make sense at asking, 6.6% ROI, ~$500 cashflow.

Everyone is an investor but they lack the tenacity and finesse to take control of the conversation and get the attention of the seller so that you stick out, are someone they can trust and can create a win/ win solution for their problem. oh and always be in the constant state of “ getting back with the seller “ as though you have talked to them prior to this call.

We just say, that's what the company does, we can't control it...they do not know the company that owns the company that owns the property is me...bwahahahah...and I am not lying, I am strict! 

Something to keep in mind with STR, that's tied to why REI is a smart game to play - control is the name of the game.You want to control the guests and rates (vet them in hopes of avoiding property damage, set rates to attract those willing to pay more for quality)You want to control the costs (furnishings, consumables, cleaning/repair/plumbing/electrical)You want to control the property (choice of property, location, financing terms, well or city water, septic or city sewer, etc)This is all going to be very hard to do, if not impossible, if you don't OWN THE PROPERTY. 

If you can't keep control your finances, you are highly unlikely to succeed in real estate investing.

The four elements of CPTED are: natural surveillance and visibility; lighting; territorial reinforcement and space delineation, and natural access control.

This intrigues me because timing is important in real estate and sometimes it's out of our control.

Every market is completely unique and the prices for materials, labor, permits, etc... will vary somewhat from place to place, so you're probably not going to get a really precise answer on this one, but I'll try to point you in the right direction.The number 1 rule is spend less than what you can sell for, while still having a marketable and desirable property that will generate a profit.