But you have to use judgment and can't be too cheap or you find yourself taking forever to get a deal, sometimes you have to pay a little more to keep the machine moving. 

You definitely need to consider how renting may affect the wow factor of the house. 

It has not declined but appreciation is something that I can not factor into the equation.  

This is not just a factor in getting loans it is a major factor in personally staying afloat financially.Get the first deal done, rehabbed and sold.

@Curt Davis of course you are right but the anxiety level and cost factors are what keeps me at home.

You are being conservative underwriting to the future, when you don't occupy it. for the present, you must factor in what you would be paying in rent. 

If they are only lending 50-65% of the current value, the property will be the most important factor in their underwriting decision.Not having money for DPs is usually a symptom of other things.  

@Shannon Sadik There is a product that we use, it is called Kilz, we use them even for fire damaged room, factor those out and the painting expense and embed them in your contract.

Do you still factor in the “rent” of an owner occupied unit when calculating the value and other valuations?

Most designs before 1970's don't have enough seismic load factor, so they are weaker than today's standard.