I would use the lowest comp (sold properties) that she gave just to be on the safe side and I believe they calculate something to this:ARV (After repair value) $62,000 x 70% = $43,400 - rehab costs - holding costs - your profit = MPP (Max purchase price)Hope this is acurate (I'm still learning) and hope it helps.

Then is it safe to assume a home sitting on the market for an extended period of time is priced incorrectly? 

Lock the common doors at all times not everyone feels as safe as you do. 

For everyone in real estate I tried to play it safe by learning the field on the inside.

As a woman and a Mom, driving the streets with my 4 year old daugher in the backseat, teaches me where I feel safe.

I put in a fancy vanity and sink in the other one because I got a good deal on them.But my goal is to make the property safe, clean and attractive for my target market at the lowest cost possible for me.

Indeed they are safe.

Then the consultant would still need to do the clearance testing after any remediation was completed.Some localities (or states) require a state-issued document as proof that the work was completed and that the home is safe.

I figure I can get it for 250-260, and it needs about $40,000 worth of work maybe less but want to be safe.

You should also look into the SAFE Act, read that and understand you are the "maker" of a note not the lender.