This will help force you to write down all of the costs (including capex, maintenance, vacancy, taxes, etc) to help you think through some things you may be overlooking.http://www.biggerpockets.com/buy-and-hold-calculatorWith regards to the wood paneling you have a few options with the walls (I would leave the ceiling).  

If they want more than that, they you way want to walk away.You do want to look for two things, either cash flow (will the property rent for more than PITI + expenses including maintenence)or you want to get a bunch of equityor both equity and cash flowYou can make money in any of the above casesMAO only applies if you need to do repairs to rent it   Most of the property that you will look at subject-to is lived in my the owner or was recently lived in.

Right now both of our properties are in our personal names and I operate under the LLC with my tenants, payments, maintenance, etc.

Improper screening can cost way more than any maintenance/capital expense.

Six months later they were sending me argumentative email and a barrage of cooked up maintenance complaints.

Cash flow will be about $100 per month after PITI, management, and reserves for vacancy, maintenance, and cap ex.

I do not see any allowance for maintenance.

This should help you determine whether you are satisfied with the resulting cash flow after you subtract mortgage, maintenance, etc..As for finding tenants, you can put up posts on Craigslist before you even purchase the multi unit properties and collect as many possible tenants.

The cost of the car + the savings of maintenance and gas + keeping get it for 10 years = I can focus on making money.  

They are a maintenance headache.