I can find some 3 bd 2 bath 1980's homes for around 130k that seem to be in decent shape in the suburbs and can find some 1 bd or 2bd homes for about 100-115k. 

Better to have them on the hook for telling Billy to shape up because they are at the property a lot more than you are.

West Blvd needs windows and will be getting them shortly after closing but otherwise both units are in top shape and need nothing.

our plans have been in a constant holding pattern because Snoqualmie has been in such bad shape.  

So I found a site that tracks rental trends in the Spokane area: Spokane rental trendsIt looks to me like 3% is not an unreasonable rent increase over the past 3 years, in fact it appears to be closer to 4% per year.

The appraisal saw that the house didn't connect and has two kitchen therefore he labeled it as a duplex.The finance people and realtor called in yesterday saying: Good news and bad news, good news loan came out great you guys are in good shape to buy another property but just NOT this one because FHAs or conventional wont cover a duplex.  

I would say probably around $65,000 if it's in decent shape.

The other one has an older kitchen in decent shape, new flooring and paint throughout. 

Not only was it significantly less expensive, but it was newer and in better shape when I bought it.

I'm an investor in the area, primarily Jersey City, but I work in the area as well so I'm very familiar with the trends of each neighborhood.