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

My life is forever changed after attending the FB 3-day.

The janitor expense seems interesting as well as I am not sure who charges $33 per month to clean a common area...Here is what I would guess the building really looks like:Gross income minus 10% vacancy factor= $148770NOI using the 50% rule= $74,385True cap rate then would be 11.4.

I would also factor in concessions, and bad debt.

Based on these factors (and the fact that I am new and would prefer cash now to do more deals) I am leaning towards flipping the home.Thanks again. 

My plan is to milk this cash cow forever, do $40k cash out refi in 6 mouths, use the money to purchase multi family properties.

It's all factored into the contractor's bid.

Prices will reflect that, but buying dirt cheap means selling dirt cheap in a small town that isn't "related" to a larger market.Study real estate basics, location, market influences, inventory turn over, economic factors that effect value.

The goal isn't to live forever, the goal is to create something that will!"

The biggest factor in the financing is the cash flow.