Companies typically last only ten years on average.

Typically they will have referrals to local accountants you can interview. 

Issues 1) even garage conversion ADUs in single family zoned areas typically cost more to build than the value that they add.  

So, a house that would typically cost $100 per sq. ft. to build 5 years ago, is now costing $200 per sq. ft. 

Deduct NEW property taxes after you buyDeduct home insurance costsDeduct maintenance percentage, typically 10%Deduct vacancy+tenant nonperformance percentage(we recommend 5% for Class A, 10% Class B, 20% Class C, good luck with Class D)Deduct whatever dollar/percentage of cashflow you wantNow, what you have left over is the amount for debt service.Enter it into a mortgage calculator, with current interest rate for an investment property, to determine your maximum mortgage amount.Divide the mortgage amount by either 75% or 80%, depending on the required down payment percentage - this is your tentative price to offer.If the property needs repairs, you'll want to deduct 110%-120% of the estimated repairs from this amount.Be sure to also research the ARV and make sure it's 10-20% higher than your tentative purchase price.As long as the ARV checks out, this is the purchase price to offer.It is probably significantly below the asking price.

Without accounting for management fees (I have not yet decided if I will try to self manage), and with planning to raise rents to typical market of $825 for each of the smaller units, and $1200 for the larger unit, does this seem like a worthy first investment? 

Typically 75% of rental income can be applied towards your DTI for qualification. 

Typically the first set of tenants I screen are the ones who end up in the unit due to prescreening activities like my application and making sure I meet them.

It'll be easier to start with a turn-key property, but if you have a good contracting team, a value add will typically offer better returns. 

. - Just be prepared, because a motivated seller typically has a property with issues you need to be sure you can solve.