Most cash investors will take anything at the right price but big red flags would be major roads/ freeways, backing commercial or heavy duty power lines, and houses that are too small for the area, lately it seems popular to flip 3br 800-900 sqft houses which would be a pretty cramped home for most people, usually the buyers there are owner occupants. 

(Here is a good time to say that my 25 years of experience is in residential sales, mortgages, and property management; I have very little commercial experience to speak of.)My questions are: 1.

@AJ Dhillon I’m not as familiar with Canada but in the states I can get financing with local banks either through their commercial division or a portfolio loan that they don’t plan to sell off even without a w-2 job.

If you are getting commercial financing, then you will be putting it right into the LLC from the outset. 

He says he can do an sba loan on a non-owner occupied all residential commercial building with just 10% down.

@Oscar Beteta I would tend to agree but there are quite a few commercial banks that will also consider recent sales and the income for evaluating the appraised value.

I've even had a lender approve refinances on rentals in a business name (after another branch of the same lender said "we'll only do commercial rates with business ownership"), at residential rates.

There is a 1,900 Sqft. house on the property that is in great condition for a flip, but its hard to decide whether the deal should be analyzed as a residential flip or commercial property opportunity.

Denver is not Austin, but they have many similarities in terms of commercial real estate investment which will, eventually, have an impact on the values, cap rates and cash flow of smaller rental properties. 

If you plan on purchasing commercial 5+units and then it comes down to the income of the properties and how much money you have to put down.