Formica Countertops instead of granite that sort of thing.Generally it is said the lower the class of property the more hands on and better skilled the manager will need to be.

There is no big concern with either. pumps will last for many years and will typically result in lower utility bills which is a plus for tenants.

Appraisal value can be lower than market value too fyi

I cannot decide whether it would be a greater investment for me to build multiple 4/2 duplexes with lower building costs, or multiple 6/4 duplexes that I could rent for more.

Aka, is the offer they have the lowest already or should i still ask if there's wiggle room to negotiate lower?

And most times, that leads to lower acquisition costs and higher potential margins.

You will find that $300K for a 4-plex in this area is at the top of the scale.If the owner is moving out of state and doesn't have any equity, one strategy is to come in with a master lease or a lease/option which lowers the risk to you. 

But if they are seeking to hold a property for any length of time and want their cash investment back there are some important rules to understand with conventional loan:If you buy a property with cash (or with a HELOC) you can receive a cash out loan on Day 1.There is not a 6 month waiting period with receiving a cash out loan if you purchased a home with cash or with a HELOCBUT you will be limited to the amount of....Your purchase price + closing costs (costs when you purchased the home)OR75% of the “After Repair Value”...WHICHEVER IS THE LOWER AMOUNT (super important)These rules are important to understand so here are two examples:Example 1: If you purchased a home with $50k of cash, and put $30k of renovations into the loan, and the home was worth $100k. 75% is $75k and $50k is your purchaseprice.

Rents are a little lower in this area (so make sure you are researching the rental market for this area specifically). 

. - cover yourself while you can, or demand a lower price.