The prices are certainly crazy and I'm trying to be patient so we don't end up digging ourselves in a financial hole.

He is putting 30% downi have a 3 step plan and would love to hear your opinions on this (my math is generally super conservative): A) Split the houses in half and have (2) 3 bed 1 bath and (2) 2 bed 1 bath units  ----spend about 60k on 2 new kitchens, a couple interior walls, and 2 new meters      - this would flow about $8000-$9000 total, and bump the value to about $1.5mB) Pull plans for 3 additional units or for new 5 units (would have to demo the rear unit) ----spend about $20k on paperwork      - this would bump up the value to about 1.6-1.65m C) Build the new units assuming all 2 bed 1 bath 800s.f. on 2 stories 400k-750k      - Each new unit would flow about $2200, bringing the total to about 14,500 - 16,000, bringing the value up to 2.75m @ 4.5% capGenerally speaking, 2bed 1 bath in that area goes for about $2500+, way undershot for safety purposes What part of my plan would be the best part to sell at? 

There are many other asset protection strategies you can use right now: fixing all health/safety issues, being a great landlord, using property management to keep you compliant, using leverage to limit your equity target, having great liability insurance, having great umbrella or commercial insurance...If you have questions, feel free to PM me.

Get the refi done, then apply for the HELOC for your safety line.

The properties are located in the center of the most popular campus a block or two from all major restaurant/bar, main library, a block from the University bus stop and safest and most patrolled location for student safety.

Inspections usually cover basic functionality and safety items. 

Safety and security is very important to me. 

I really like the Arlington area (near the new Amazon HQ), the Falls Church or Fairfax/Merrifield area.Anyone have any suggestions or agents they have used that are helpful and patient with newbies?

It helps to have someone that is responsive and patient as you learn+ After having gone through this process, purchasing a property is not as daunting as it seems from the outside looking in.Read, save $, prepare for the opportunity Did you work with any real estate professionals (agents, lenders, etc.) that you'd recommend to others?

If you want more of a safety margin you might want more.