I'm considering raising rents again this summer once all those improvements are done.I figured this was a 2-3 year project to get the building stablized and that's about what it's going to end up being. 

I get the general idea of why a cash offer is better, it's quicker, more secure, probably won't fall through in escrow, can display POF.But other than that, if you are underwritten and already approved for a loan amount, what's the huge difference if the seller still is going to get the same amount of money in the end, say $2M from a cash offer versus $2M from a person borrowing.

I think that if you go with a month to month it will create more turn over in your units versus a yearly lease.

.$625 might be pretty cheap for your area, which could mean you have opportunity to improve / raise rent, but it also might mean you are dealing with a tenant population that is a bit tougher to manage.

You now have 300,000 in equity growth versus 70,000 in cash flow.The equity growth is a much more important metric at least to me.

Hi Scott and congrats on your life improvement. 

I will likely be making a cash offer of $43K, estimate to put approx $20k of improvements into the property, and inevitably would seek a cash out refi. 

If you never raise rents on an existing tenant in a rising market, you may end up way under market and not keeping up with increases in insurance, taxes, planning for future capital improvements and other expenses.Small increases when the market is rising are a very good way to keep a good tenant as they won't find anything better when they look around as long as you keep it on the low end of current market.    

They both make pizza but one has older parts needing constant work and might not cook as many pizzas in an hour.You would need to show a depreciation schedule to the owner for the age of the equipment today versus when it was new and assign a value to it considering it is in working order.If the seller is going to charge you new equipment pricing for old stuff just go buy your own. 

That said, if your LLC has substantial annual active income, the LLC treated as an S-corp may save you some money on the payroll taxes versus the partnership LLC.