My dilemma is replace the exterior items (which I can't really raise rent for).

Be 1-1.33 DSCR, ideally 1.2 ish range with capex as a top line not bottom line item. 50% net cash flow= reserves, 50% net cash flow= investment #2.

Selling it to them is an option that lessens your risk but make sure write up a bill of sale, offer as-is and state that it is their responsibility to make sure the item is safe to use and to maintain it.   

Quote from contractor, see how much it is and if you can afford it to convert to a permitted room and do the other remodel items in question. 

Almost all the cash flow analysis I see does not take into account a reserve for replacement of items that wear out.

It helps to confirm what we had written is clear and to the point about each item in the lease. 

not in NYC, not in Toledo. your first several years, or even longer, will be INvesting, in which you will be putting money in. almost all properties have kinks that need to be worked out once tenants move in - things that need to be fixed, or a big capex item that comes due when it wasn't supposed to.

You won't have to supply linens, TP, paper towels, coffee, soap, etc and won't have to replace broken items or small appliances.

Most of these days even with advances in technology there are still a lot things to weed through to make sure you can get the job done for the repair/items that need to be fixed.

Furnished units are harder to manage because of the added items and the wear and tear on them.