Bedrooms are also required to have a closet in our jurisdiction.Usually, to me, no permit indicates a homeowner that did it themselves, you haven’t really become a professional level investor or, you’re just a shady person. 

I really just want to minimize my loses without having to pay the whole 3 months of rent to buy-out/break my lease. 

You'll have an asset manager/s with nearly inexhaustible resources to run the business plan and keep an eye on key performance and economic metrics that would indicate the necessity to execute a contingency in the business plan. 

When purchasing rental real estate, the number one indication is job growth.

Personally I'd pay off my car note as soon as possible to minimize my debts but that is not necessary.Another resource you might check out is using a VA loan to purchase a primary residence to house hack.

@Timothy Brennan Looking to do minimal work such as repainting, appliances etc.

The lowest price in apartments is not an indication of a great deal.

I'd also think that you can probably find some 80s or 90s housing stock that will have minimal maintenance issues and still give you better returns.

He indicated that the area is in fact a very rough section of town and that I would be better off to pass this opportunity up.

I haven't seen anything that indicates people do, but I was thinking it could be a good strategy if one is motivated to get an agreement in place.