So your buyer pool will be very restricted.

I think we spoke about this at the last meetup, but that $800k price point just has a limited buyer pool in this area.It may be worthwhile to talk to your listing agent about marketing the place in some unconventional ways, and also market it in areas outside of the Triangle such as Boston, San Fran, etc.

I'll be doing the following during the project to add value: second floor addition for 2 new bedrooms and full bathroom; slight change in kitchen/dining/living layout for open floor plan; new kitchen and new bathroom; finish basement, gas furnace, update laundry room; landscaping in the front and backyard.

I am doing this right now on a property for sale that I found an addition (garden house) in the back yard.

Nice with a pool.

The property is full of trash and neglected landscaping but it's a nice size, full fenced back yard, room for parking vehicles or toys, and surrounded by nice homes on both sides of the street.

The pool of tenants wanting/needing these properties is enormous in Central California if you have a good product.Frank

Just got a call from a lady in SO FL. who is definitely interested in buying the property that is attached to her house back yard on which I own the tax lien for and it is mature.  

The house has a fairly narrow backyard that is basically all patio and pool.

Actually they rent for less because of smaller backyard and closer together units make them less desirable.