Hi. I own a duplex property (I do not live on site) and I'm renting out the 2 bed/1 bath back house. I got three applications today. All of them are financially qualified and sound: 1. Single woman, mid 30s, small dog...

Assuming a 40% expense ratio, the net operating income at the current income level would be around $19,440 annually and $28,800 after renovations.At a $360,000 asking price, the cap rate based on current NOI would be 5.4%, which is low for a park with park-owned homes and required renovations.

Low value markets might be Pennies on the dollar like you allude to. 

@Bonnie Low I was not including debt as I want to know how a cash buyer would look at the deal.

From choosing a property management company to landscaping companies.  

You’re in a great position with a property that’s appreciated significantly, a low-interest mortgage, and clear goals to boost cash flow and transition into full-time investing.

In some areas with low water cost the expense of splitting may not be worth it.

Quote from @Aaron Zimmerman: Quote from @Bonnie Low: My current CPA came via recommendation from another investor.

Usually of the home requires major repairs it may require a HML "hard money loan" then you refinance in 6 months on the new ARV.DSCR is also not a great avenue for low loan amounts because all loans under $125K will take a rate hit and the minimums are usually $125k after down payment with some going down to $100K Min.

That said, most of our DSCR options have had rates drop over the past few days, so right now is probably a good time to move forward (at an 80% or 75% LTV) as it is very possible to get you rates in the 8s and even low 7s right now at those LTVs, if your credit and DSCR ratio are good.