In your 20s go for the stocks, you can earn more to off set the risk if it crashes, but as one gets older the advise is to move out of stocks to bonds, then as one ages more, to more further from stocks, some away from bonds, and get into cds as a larger holding. 

Over-financing can be an issue when too much money is borrowed (the interest rate and length of the mortgage are factors).Warren Buffett refers to free cashflow as owner earnings, which is money you can safely take out of the business without jeopardizing the business.

I could reduce outlay with a 30 year note, but the plan is free and clear in five.  

You can always ask the selling agent if they are willing to reduce the commission rate if they represent both sides, but I cannot see any agent giving up a whole 3%.  

This would in concept increase your CoC from 12% to potentially higher given the rate to borrow is in the 5's which translates into a 6.80% mortgage constant meaning you have to earn a min cap of 6.8% (based on 80k value) to break even.

Through automation and streamlined service through technology we have been able to drastically reduce the cost of participating in the hotel industry and created a model that allows us to target niche markets.

I've been a reference for several tenants through the years and often thought about being able to report to credit bureaus as a way of helping tenants - and encouraging them to pay on time to earn that good report. 

@Fletcher CaulkSelling expenses reduce any gain you would have recognized.

Does it make sense to take on $800,000 in debt just to earn $4,000 a year? 

For this deal to work, we'd also need to reduce our repair costs to something around 10k .. which would be difficult if not impossible to accomplish.