its a unique situation but there is definitely opportunity here.

There seems to be two pretty good deals on the table for me.

What I can bring to the table is knowledge to put a deal together and the necessary contracts.

I know each market is unique- but just wanted to see if anyone had ideas or reflections on the Phoenix market.  

Note that basements are considered a plus in most areas where the water table and other issue present challenges for constructing a basement.We do our own construction and use very few subs so i know the pros & cons of basements firsthand.  

The home is unique in that it has a separate entrance to the basement and an easily configurable entrance to a great little studio area with a half bath.

My brother, who will act as my property manager, handyman, and generally handle all of the in person activities associated with the properties will be staying in the second unit of property two with a reduced rent in place of all he is bringing to the table for me.

Also, I didn't see anything about being able to vacate a property after a certain time period here:http://benefits.va.gov/WARMS/docs/admin26/handbook...There are exceptions of course that could come into play based on your unique situation.

What's your ROI on the 200K potential cash you are leaving on the table?

But that's not unique.