It's garbage, man.

We only deduct damages (past due rent owed, late fees owed, patching hole punched in wall, unpaid garbage bill that city will attach to property, etc)

Zillow is below garbage; I don't rely on them to be within $50k let alone the $2k you are worried about.An agent in my office listed a condo for $99k recently and it sold for $109k with offers up to $117k.

.- Or if you could back your increasing income up with all the documentation in the world, and you could present a professionally prepared P&L showing 10% YoY growth consistent with the last several years of 10% YoY growth... and we would throw that data in the garbage and look only at your tax returns for our income calculations, no different than if you handed us the bar napkin.- But by contrast if you spend 75 person-hours checking your books and present a professionally audited P&L that voluntarily discloses a temporary $150/mo decline in income due to a strategic re-positioning of your business that makes all the sense in the world... now and only now, will we take your numbers at face value, ding your income $150/mo, and throw out what your tax returns show in favor of your YTD P&L numbers.Yup, the mortgage industry is currently pretty stupid.

Cost 385Kclosing (estimated) 3Ktotal cash needed (20% + closing) 80K4% interest rate30 yr amortizationP&I = $14,070.44property is on a well, tenants pay garbage and electricity5% vacancy5% repairs 7% cap Xtotal variable cost = $637.50total Fixed costs  $465 (tax, insurance, $50 cushion)total Monthly expenses $2522,94Cashflow = $1227.06 Cash on Cash = 18.41%I assume there are some additional misc. expenses that will arise, but I believe there is enough margin in this deal that it makes sense. 

If it is something as simple as removing all garbage/left behind items from previous tenants, then fixing small things (drywall, base, trim, doors, etc...)

Did you learn this on the net-maybe some guru garbage?

@Sergio AvinaMake sure you dial in the expenses of water and garbage (I made some assumptions).

Yearly: $95,640Expenses:-Electricity (for the units he pays the utilities)- $500/mn-Water and sewer- $225-Garbage- $60-Insurance- $252-Property tax- $91.08-Cable- $450-Lawn care- $75-Vacancy- 5%- $398.50-Repair and Main. - 3%- $239.10-Capex- 10%- $797-Property management- 10%- $797.

He's worried the local law enforcement will continue to send him notifications about garbage in the yard and the falling down garage.