Rents are still catching up and seem suppressed in many areas for now.One thing I am trying to keep perspective on when I decide on in area vs. out of area: Water leaks (especially from toliets) seem just as likely or more than damage from weather.

They all have different requirements and different appetites for these types of deals so you need to shop it around.They will definitely require a long term lease with a credit worthy tenants for the commercial space.

Each bank is going to have a risk appetite and will be willing to lend based on the facts and circumstances of your individual scenario.This is a situation where you're going to have to do some leg work and speak with commercial real estate brokers as to who they would recommend working with and then call local banks.

@Joel Kleyer I have always used local commercial banks for these types of loans and they will loan on the appraised value after repair just like in new construction.You need to shop different banks as they all have different appetites, comfort levels, loan products and rates.

They all have different appetites and programs. 

Unless you have an appetite for risk and want a second job, or bring real estate expertise to the table along with a work ethic and don’t mind running a real estate investing business that will enable you to beat the stock market, in which case you should buy into a bunch of syndications and rentals.

You obviously want to get the numbers right so you truly know what you're taking in and if it's worth it, but ultimately only you can know what's acceptable for your goals and risk appetite. 

That is, what is my appetite for cash flow vs appreciation.

Sure VRBO will suppress you on its home page, but Google and Bing rip that post out and display it on a search they control.

They all have different appetites, loan programs, rates and terms.