@Zach Howard some copy & paste advice below:)-------------------------------------------------------------------------------------------------Recommend you first figure out the property Class you want to invest in, THEN figure out the corresponding location to invest in.Property Class will typically dictate the Class of tenant you get, which greatly IMPACTS rental income stability and property maintenance/damage by tenants.If you apply Class A assumptions to a Class B or C purchase, your expectations won’t be met and it may be a financial disaster.If you buy/renovate a property in Class D area to Class A standards, what quality of tenant will you get?

It's very common for sellers to provide bad infor to brokers.  

He prides himself on having "realistic" standards and claims to value inner qualities over appearance.

At least run this with good, bad, worst scenarios.

That looks pretty bad for your cash flow.

What We Will and Will Not Lend On: Bad foundations, mold, asbestos, substandard, and/or fire damage?

I would assume a greater emphasis on quality of materials and workmanship (and consequently higher rehab cost) for a rental where the investor will have to deal with the longer term implications of any corners that were cut.

A lot of investors have 10 doors, but 6 of them are bad.

Anticipate an emphasis on quality over quantity in terms of reconstruction materials and housing footprint.

Definitely a bad move on my part.