Anything you do remote will come at a cost of operational inefficiencies and a higher cost of doing business.

That seems low with the 5 units and storage you mentioned unless they are 1 bed units. 

@Loren Souers I'd have to run the specific scenarios with the rates and fees, but if you're OK with paying the higher closing costs, the Mortgage 1 deal looks good, particularly if you focus on CoC returns.

Prices are low and they hit the bottom during the real estate crash.

That's why appraisers do the comparative approach and then secondarily the cost approach.So far, 100% of the time you don't get dollar for dollar back from what I've seen.

* The conversion would be costly. 

Median incomes are an insane gap from cost of household/properties.

Don't know how much renovations will really cost, again, either PM or GC conversations.  

This is the percentage of costs (purchase and rehab) covered by the loan.

I am not familiar with any HML on a fix and flip that would not want an appraisal as well as an estimate of costs.