On a 5% cap building, every extra dollar of NOI equals $20 in value, so you should squeeze out as much as you possible can.

The garage probably doesn't have any plumbing, so this is from a roof leak.The wall probably has mold inside it.

I want to grow my business so i can eventually buy a rental property, or convert the house i own currently. 

So pending that the investor has decent credit and reserves to support, they do not care what your taxes look like.

In my view, the entire side fence is still entirely inside my property, so all improvements belong to me (even though he paid for the back part of the side fence).

If you place the right tenants consistently, you will rarely have problems.Here's a detailed guide on how to screen applicants: Application Screening GuideSecond, consider inspections at least once a year, preferably at the mid-point so you can catch damages before they get too far.

This might work in a strong sellers market, or it might make people wonder what is wrong with the property to be priced so low (and then don't bother to go see it).While I like to price my listings in the middle range of what I think the market will pay, there are (for now) still lots of new agents that don't realize when you've priced low to hopefully start a bidding war. 

Normally 2/1 entire apartments in area go $1600-2100 ranges so these were surprisingly high for just bedrooms.

A 2-5 year refi clause so that they can exit the deal would be great. 

They are friendly tenants, They call us immediately when there is a problem, and every time either of us is over there, the house is very clean and there are no odors...