I would normally stay away from them due to higher management intensity and probably higher turnover (vacancy) rates, but I happen to be evaluating a building that is 10 studios rented for about $450/month each and I would love to get the perspective of some investors who are more experienced at this than I am.What do you think?

We've had no trouble getting portfolio mortgages with fixed terms, as well as 5 yr fixed then adjusting. 

I've adjusted as necessary when I feel like I didn't get the service or help I was looking for.  

A purchase transaction sets the market value, first of all, if the deal meets the definition of market value, otherwise you bought a distressed property or had a distressed seller.Loans are made based on market value, the rule is the lower of the purchase price or appraised value within 12 months from a transaction, some lenders will go with 6 months, this time frame is the seasoning period where the market conditions may adjust, they will look to the market activity and price changes. :) 

You can pretty much use "feel, felt, found" with every objection and just adjust it to what the seller said. ie "I understand how you FEEL, Mr. seller, alot of people felt that way at first but what they found was ..." but always end the statement with a question after feel, felt, found. ie.

I can just see it now, you take a picture drinking some soda or something and COKE sends you a cease and desist LOLOL reality is that the guy doesn't want to be bothered with the ad. Just

I don't know what your contract looks like but you might have the option to go back and adjust the deal based on the repairs. 

Look at the inside of your nearby comps with the pictures and make adjustments for quality accordingly.

Banks understand this and will adjust the underwriting accordingly, just because you claim to be in the business, doesn't mean you are afforded the real, in reality, provisions of a business, you are still personally liable.   

Purchases of new homes climbed 7.8 percent from the previous month to a seasonally adjusted 539,000 annualized pace in February, a seven-year high, according to the latest U.S. government report.