However, it may be a smaller space with less luxuries (you could always take lower income and rent or airbnb out the ADU and live inside the main house).3.

The second unit has been a rental with ~the same occupancy but they were charging lower rates.  

Expenses naturally rise with inflation - insurance, property tax, utilities...Those two factors, by definition, result in lower NOI down the road than in-place/year 1 NOI.

Propstream offers extensive property data, such as transaction history, tax, foreclosure and upcoming property auctions.

IF there are major problems, you can use the inspection to lower your offer...unlikely to happen if it is being sold as is.

I might cherry pick the best property or try a lower price.

CapEx is not included in NOI because it makes the property more valuable which lowers cap rate.

However, I absolutely will not allow it in my rentals, particularly in multi-family where it finds its way into the neighboring units.I don't know that I would reject him for his stupid hat, but I would definitely reject him for the request that I lower my standards.

You can lower your risk by putting more than, say 30%-40% rather than putting down 5-20% down.Using new builds or turnkeys as rentals would be a good way to get started and lower the risk for cap ex, so this could make sense.

The Midwest is the place to go if you're looking for lower entry prices and cash flow.