I'm 3 months in, but I'm spending all of my time fixing it up while trying to maintain my 9-5 as an accountant.  

So they are not well maintained.

I was excited because now I get to deal with real investors instead of tire kickers, which seems like the majority of calls I get.The August foreclosure sale included a property that was a borderline good deal, the house was well maintained and needed minimum work, but was a great buy for a cheap rehab and borderline if you took the rehab farther.

Would it be possible to decrease the height and still maintain the number of units by constructing two, two-story buildings?

(The way you approach REI hitting and throwing you'll be joining Robin Yount in the Hall of Fame some day.)While careful math seems at the heart of your process, it seems to me that something more helps you maintain common sense throughout your project execution. 

I have no problem upgrading/replacing things that are worn out, or fixing something that breaks, but I see no reason to simply add things because the tenant wants them, especially things that need to be maintained.

Example (paraphrased): 'tenant shall maintain lawn... if lawn length exceeds 10" landlord may remediate by having the grass cut by a landlord selected lawn service company... at a cost not to exceed $50... and that cost will be billed to tenant and due upon receipt...'

(she is retiring next year but will maintain a $100K+ income from annuities and pension etc.).2) A variation on the above idea might be to buy the two properties separately.

This does not preclude them from receiving a commission from the purchaser, as the law requires them to maintain impartiality, even if the agent receives written instructions from the seller.

Think about establishing and maintaining a maintenance budget for your property.