I have preaproval for a 250K loan now.

With closing costs, housing costs, agent commissions, my HELOC costs, I estimated about $20-$30k profit, depending on sale price.But, now I am thinking this would be a great BRRRR to learn those ropes as well!

I have a great one in Kansas City for over 15 years that I've used multiple times (only auto loans however), but hoping to branch out locally as I begin my investor journey in Arizona. 

Now that you have those numbers, you will take the total value of the homes, subtract the assessed land value (land doesn't depreciate), then subtract the applicable extra depreciation that we calculated above.

Now that time has gone.

Following the installation of a new water meter, I received a true-up for the previous underbilling.Since the meter replacement, my water usage has increased by approximately 20%, and I am now receiving monthly bills instead of the previous bi-monthly statements.

@Lexi Blocksom suggest you discuss in detail with @Russell BrazilYou've made a mistake thousands of naive investors have made - expecting Class A results from Class C & D properties:( In general, you'd want to compare what you can sell the property for now versus what it would cost to update it and what you could then sell it for.

Now, if you're buying in the name of the LLC and you're doing a DSCR deal, that will be irrelevant.

Just because you're doing your own now, doesn't mean you will always. 

I can get it with a DSCR loan now and would not live in it initially, but would want to eventually move into it 6-12 months down the road.