This fee helps cover cleaning and paint touch-up costs after tenants move out.

He wants to focus on large ticket items for property managers: roofs, turns, hvac replacement, whole house painting, things like that.

That is an interior heavy rehab, i.e. remodel kitchens and baths, new floors, fresh paint. 

Reface cabinets, new countertops, glue down flooring and fresh paint.

Look for something that needs cosmetics work, such as new flooring, paint, cabinets, etc, as this will help build value and get the most rent.   

First, I would not start renos until it is closed unless you are doing something simple like painting. 

we have changed out the carpet and paint as the tenant moved out, replaced the roof, and built a fence in the back What was the outcome?

Two codes of specialized paint for order control, not the regular Home Depot paint, were necessary.

In a down market, you’ve painted yourself into a corner.It’s not at all impossible to encounter a scenario where the pref tranche gets their entire return, while common equity suffers a 100% loss.  

. #3 $2500 for painting (assuming interior) is incredibly low unless you're doing the work yourself.