I don't charge an application fee, have applicants provide their own credit reports and do my own amateur background investigation, then meet applicants to show the property. 

Yes, ignore the ROI.Yes there is a formula that you use:All income (cash flow) at year's end - all expenses at 1st year's end = Cash on Cash Return        cash you used (cost & fees fro HELOC for 1st year) at start

Of course, you can call the city and check your address and see if it qualifies, and if it does, then you get an inspection and pay a fee.

According to him the retail price for this property is $285,000 and so if's that remotely accurate we could make a really good option fee on this one.The challenge for us and this is where we need your ideas, is how do we market this property to the higher end tenant buyers?

Are the payments up to date or is there any reinstatement fee?

Unless you have dozens of properties one LLC per state should suffice.If you have a Wyoming LLC that does business in Illinois under that LLC you need to file as a foreign entity and submit an Illinois income tax return as well as Wyoming.Unless you live in Wyoming you have no need of paying for multiple filing fees and tax returns.

@Jeremy Johnson my advice would be to be to never ignore a good buyer with little to no transaction fees particularly if there is a hefty profit involved. 1031 is a good option but also don't overlook other options such as just paying the capital gains tax (gasp) or rolling it into one of the new opportunity zone investment funds.Make sure to negotiate a great long-term fixed lease for your own business as part of the transaction assuming you want to stay there.

It is about $300 a year covering maintenance issues and a $50-$75 each call fee.

Trans fee only 1-2%.

AND we had to put the entire amount of purchase price in CASH our contract called for a cash sale. into escrow on the day we were suppose to close.. so we have 45k out and gone.. 6 figures sitting in escrow for 2.5 years  another 20k in legal fee's.. and at the end of the day she is a no show at court.. and we win in about 60 seconds..