I plan to spend a good chunk of my money on the remodel of the kitchens and bathrooms which will make the higher rents more realistic. there is no rent control in the area as far as i know.

Eventually I would like to do a further addition to make another bedroom and bathroom, but my concern is that when I get permits to do so will I be stuck with paying back taxes on the non-permitted addition if they catch it?  

The home is currently a 3 BR and 3 BR home with 2 bedrooms including a master with a private full bathroom connected to it.

The kitchen, bathroom, and floors need updating in all the units.  

Have built in equitySounds like an additional bathroom would complete the triangle.  

The official report comes in next week which I'm told will likely have more.1) Electrical in the bathroom is off and causing issues with the lighting and exhaust fan. 2) There needs to be smoke detectors in all 3 berms.

From what I’ve seen so far, both kitchens and bathrooms will need rehabbing, new electrical, outside paint, etc – I’m estimating around $30K in rehab, but of course this is subject to change.My Question:Let’s assume that the house does in fact require $30K in rehab and the seller is willing to come down on the price significantly (because he knows there’s a ton of work required, he just doesn’t want to do it) – let’s say we agree on $190K.

Reno wise:MINI- keep kitchen cabinets and restain, new countertops, new appliance, new floors, etc.MAXI- gut kitchen, brand new cabinets, counters, appliance floors, etcMINI- reglaze tub, replace floors, clean and repaint tile, etcMAXI- gut bathrooms (2x), tile shower, glass showers (master), etcetc....and so on..What to do what to do? 

After those three factors, tenants might focus on the number of bedrooms and bathrooms, the overall quality of the home and appliances, the available parking, and whether you have carpet or hardwoods.  

We are currently doing a remodel in our bathroom, so I have been watching hgtv for ideas.