It has to make sense from a business perspective & long term goals. 

I really appreciate your perspectives and will discuss further with my wife. 

I'm actually in the exact same boat as I'm looking at 5+ units in the Bay Area and still in the early stages.Regarding it being too simple - I think this perspective is a great one on the forced appreciation model within a seller's market: Trust that there are others who are trying to do exactly what you are, and that gets factored into people bidding up the purchase price and the compressed cap rates.

The STRs require much more time from a property management perspective, but also have higher returns.

If this is the case, from a building perspective, what are the cons of buying this property?

I believe there to be much better markets out there from a tax, legal, appreciation & cash flow perspective. 

Sorry for the ramble ;) Having just read this whole thread, it seemed Jay was a little on his own out there and another experienced perspective might be useful.

I stuck to the modern theme - replacing light fixtures from Amazon, peel & stick flooring in the kitchen, and adding a fresh coat of paint on the cabinets and walls.

So from a strategic perspective, yes, provide credits.Now, there is a legal perspective that you should consider as well.  

From an IRS and state taxes perspective, it's unlikely there will be any ROI, unless there are significant assets, but consult a CPA in your state.