I don't think anyone's going to find out if a single light switch was replaced in the property, but if suddenly there's a new roof on the property and no contractor invoice to back it up, that would be against the rules.

What is new is if all the mechanicals, plumbing, electrical, roof has been replaced.

Basically the unit had water leaking in from the unit upstairs and the owner has not been able to resolve the issue with the owner of the other unit.Currently I'm waiting for a response to my updated offer from the seller.

This theory sounds good on paper but I know very few people to actually do this with success [except @Brandon Turner ].To complicate matters further, you are looking at an attached double, which are rare here in Indianapolis, that is zoned as two separate properties.As mentioned earlier, this defeats the "benefits" of having two doors under one roof/deed.In addition, this type of property is tough to resell in the future as well.I'd suggest passing on this one and whole concept - IMHO.  

Here are some general specs: 8 br/4 ba Over 4300 sf3 storiesMajority of the house outdated Lots of knotty pine ceilings and walls Unfinished basementMissing copper pipes (stolen last year out of the basement and never replaced)Roof 10+ yrs Well waterSeptic systemPond on property (large enough to paddle boat on)My plan of action is to first see if the owner will allow me to get a pest inspection that I will provide to a contractor and ask for a bid.

Quick financial summary below for context: Listing Cost $567,500 25% Down Payment $141,875 Home Improvement $100,000 30 year Mortgage Loan Amount $525,625 APR 4.5% Life of Loan (years) 30 Number of Payments a year 12 Total Number of Payments 360 Payment each Period $2,663 Sum of Payments $958,775 Interest Cost $433,150 Monthly Rent: $4800 currently, Goal is $7200, Expenses: $2400 a month (50% Rule)Issue 1-Potential Bad TenantsOne of the units was absolutely trashed with mouse traps and obvious apathetic tenantsOne of the units looks to be a party house for recent college gradsDo we have any leverage to get these tenants out, both expediting our much needed renovations and getting us higher cash flow from the higher rents.Issue 2- Wooden Box Gutter Rot, Missing Mortar in brickWe're getting estimate on this but it seems to be an expensive fix.Issue 3- Old AC Units/Water HeatersIssue 4- Leaks around windows to interiorprobably ties back to the mortar issues in the brickDo any investors have experience in seeing major issues like this after the initial offer was accepted. 

Central hvac, good roof and flooring.  

My plan has been to buy a fourplex (all four units under the same roof), be an owner occupant in one of the units, and put 3.5% down.

I'm sure it is optical illusion, but it looks like the roof is higher.  

New roofs w/i two years.