The pros: - not having to do a major renovation from out of state- easier to get a conventional loan since the house is livable vs. a distressed property (would need to pay cash, do a hard money loan, some other type of financing)- can get a tenant in quicklyThe cons: - you don't know how good the renovation is, could be cosmetic without addressing underlying safety issues (plumbing, electrical, foundation, etc). - a home can pass an inspection but once someone is living in it and putting daily stress on the house (turning faucets on, light switches, turning on heat/AC etc), things can start to malfunction.

I wouldn't want to go much over 50% and my "value" might not be as high as the next guy as I assume the condition of the home is worst case, full gut, electrical plumbing needed etc etc.  

I may be wrong, but unless you are modifying square feet, you don't need to pull permits inside the 4 walls, unless you're doing electrical/plumbing?

Progress is slow, because amongst all my properties it's the furthest away and between a full time job and landlording, I can only work on this property on weekends.I have completed re-framing, re-plumbing of drains and supply lines and new electrical rough ins, but property has no finished walls, ceilings, or flooring. 

Make sure you call licensed contractors for HVAC, plumbing and electrical. 

Verbally, another told me it would be $12K per year to insure unless HVAC, plumbing, electrical and roof were all updated recently.

There have also been times when I needed to put and pay for a hotel for such things as tenting a building, do major plumbing or big repairs etc….

We've replaced 5 water heaters in a single year, had plumbing stoppages that resulted in 3-5k worth of work, and even had to replace 1/3 of the pier and beam foundation in the house we're currently living in.

A company comes out twice a year and inspects the AC and replaces the filter (very important if in a high temperature area), inspects the plumbing and electrical, and provides feedback regarding any potential issues.

What I had in mind was having a builder handle foundation, framing, roofing,electrical, plumbing, etc.