The longterm plan would absolutely be to renovate, remove some walls and divide the main house into 2-3 bedroom units that would command higher rents and a better clientele. 

That sort of risk commands an INCREASE rather than a decrease. 

@Dain Boelter I'm still learning about Raleigh day by day but I am becoming more pro-Durham every time I hear about the multiple offers and bidding wars going on regularly for properties that truly aren't worth the prices they're commanding.

MLS can also command higher price.

I like the idea of asking your E-8 in charge of you or an XO type officer could also help point you in the right direction either way go up the chain of command.

They tend to be cheaper per sq ft than houses and command more rent / acquisition $.The big thing I look at in an HOA is financial stability.

Seller finance allows you to command top price and top terms.To the OP: I wasn't aware that you were an out of country investor.

Properties there command a very high premium for their proximity to the city.

I understand the agents point about having both for resale value and for commanding higher rent, however the deals just aren't making sense.

In my market the median house price range is between 300-400K commanding rents of 1200-1500.