The property's estimated After Repair Value (ARV) is around $525,000, and my total investment stands at $350,000.This is my first venture into a property with 4+ units, though I consider myself a seasoned investor in other real estate ventures.

Generally the biggest con or concern on rural (from dscr lender perspective) is the availability of the land to build competitive supply cheaply that can challenge the value of the subject property. 

Conventional How did you add value to the deal?

LTV is a loan to value or loan to the after-repair value.

Furthermore, you should calculate your cash on cash return instead on what the FMV is of the property instead of what you brought it for.The value of $500,000 tax free is about $125,000 if you assume 15% federal taxes and another 10% in california state taxes.

For anyone interested, I found it a huge value.

Consumers were left reeling from plummeting home values and credit markets tightened.

--Many will state that's your job, but then what value are they truly offering as an "investor-friendly" agent?

As a GC, able to perform all the work myself, I saw massive value add potential with this property.

In my opinion, when an investor uses alphabet classifications, B class should be areas that are above median value, median income, primarily owner occupant and in financially stable areas.  38127 as an area is primarily below median value, income and primarily rental properties and definitely an area challenged for economic development.With that being said, houses in this area are not valued at $170,000 to begin with so expecting $170,000 in appreciation is not practical.