For the bottom of the commercial market, properties not deemed worthy of Loopnet, a lot of driving around, using Cagis or similar GIS databases to get owners' name and addresses, and putting notes and business cards in doors is an alternative to Loopnet (I don't know about Crexi).

The pro forma the builder put on our page shows 11.5% CoC ROI (if you look at the bottom of the page where the ROI is broken out). 

Thank God I have the funds to pay for it but might invest it in the stock market right now at the bottom instead. 

I know it's not the standard bottom line focus but I feel like I am defining value a little different these days.

The bottom line is you might want to make some changes to the house to help make it easier to mitigate some things.

In my opinion Option 1 could be a bit risky in today's environment as we are not sure if prices have hit the bottom yet, there are positive signs in the CoS market that point to price appreciation in the future, but there is a good chance the interest rates are not coming down for a while, which will have a negative impact on home values. 

@Micheal RobinsonWhat you describe is a mixed use property - retail on the bottom and residential above.

As is price point.. this will give you a better long term outcome.if you buy way under median your getting into renter dominated neighborhoods and schools for sure will be bottom ranked.. instead of going East have you considered Vegas.. lowest prop tax's basically in the country. no big weather issues  desert landscape super simple to take care of.. and Stucco homes with tile roofs no big thunder and wind storms to ruin roofs etc etc.. you can buy nice rental house there is a solid B location for about 300k. just worth checking out if you never have..

I got my bill for my house in Lake Oswego from Safeco which I had had for years and it was always around 2k to 2.3 k  i get the bill its 6k.. i call my agent and told him no way.. and he hunted around and found me something maybe 500 cheaper .. so I thought I have a aaa card I know they sell insurance and are reputable.. walk in there 1800 bucks done and I have full  basement ( which is rare on a new home in Oregon) and they gave me a much higher insurance amount if my sump pump fails.. bottom line shop.u

Speaking of transparency, transparency, honesty and integrity are business tools, they give you a competitive leverage/advantage and also protect your bottom line.