Your "basis" in the property is what the purchase price of it is plus capitalized improvements less depreciation.

I would look for a 2 to 4 unit property in a solid improving area of town.

For Airbnb I’d recommend making a new listing and focusing on improving on the things mentioned in reviews. 

Maybe you could find out if that house is also for sale @ a discount and now you have 2 properties that you can improve and drive the equity up.

I also want to use this time to improve my credit score since it is not in a very impressive place right now.

Try this device to measure the noise: https://www.amazon.com/Indicator-30-130dBA-Detector-Temperat...You can also stick the same device by windows and doors to see if temperature drop - which would indicate an insulation issue.In addition to getting an Energy Audit, you may also want to look into any state, local or utility programs that offer discounted or financed energy improvement programs.

From fixing up neglected maintenance to improving communication with the tenants, we turned things around one step at a time.

Here are a few incentives as noted by the IRS:168(k) - Special Allowance for Certain Property (Bonus Depreciation)179 - Election to Expense Certain Depreciable Business Assets Other incentives included in the tax code, however, may reduce the need for a taxpayer to perform a cost segregation study because they give preferential treatment for certain qualifying 1250 property such as 168(e)(6) - Qualified Improvement PropertyHave you utilized either of these incentives as part of your cost segregation study?

To disperse risk and improve long-term growth potential, think about investing in a variety of property kinds, regions, and asset classes.Feasibility of the Plan:An experienced investor would see your idea as well-thought-out and doable, especially in light of the local need for student accommodation.

Caveat here is that it is possible if you put down a large down payment.Some angles to consider here are properties with lots of bedrooms which you could rent out by the room, or larger lots that you could improve (ADU) and force appreciation on.