I’m considering countering with a price closer to the market value, but I’m curious how others approach deals like this.Looking forward to hearing your thoughts!

Can try to reposition to Class B, but neighborhood may impede these efforts.Vacancy Est: Historically 10%, but 15-20% should be used to also cover tenant nonpayment, eviction costs & damages.Tenant Pool: majority will have FICO scores of 560-620 (approaching 22% probability of default), many blemishes, but should have no evictions in last 2 years.

Your approach here has definitely given me a lot to think about in terms of spotting hidden value.Curious, with the deferred maintenance challenges you faced, was there anything unexpected that came up during the rehab that you’d approach differently next time?

Can try to reposition to Class B, but neighborhood may impede these efforts.Vacancy Est: Historically 10%, but 15-20% should be used to also cover tenant nonpayment, eviction costs & damages.Tenant Pool: majority will have FICO scores of 560-620 (approaching 22% probability of default), many blemishes, but should have no evictions in last 2 years.

Does this approach seem reasonable, or am I undervaluing the property?

Additionally, it feels the most appropriate approach for both profiles I described above and allows me to focus on learning one strategy.

Research the options available, compare their benefits and risks, and decide which approach aligns best with your goals and preferences.House hacking is a great start.

- This approach should be fine. 

This approach ensures realistic pricing and helps avoid unexpected costs later.Good luck!  

This approach could keep things straightforward while accommodating their need for housing.