I’ve recently had her review my past return and she uncovered several items that should have been done differently.

Here are the simple steps to uncover the reality about demand:Start with the apartments in the area.

Upon home inspection, it was uncovered that there was knob and tube electrical in the house, there was asbestos pipe coverings, as well as unknown pipe fill and vent pipes (sign of an oil tank).

I'm still saying probably because there could be other complications we have not uncovered. 

. - flashing installed incorrectly around chimney resulting in water damage to roof- outlet burned out due to fire damage- dishwasher circuit wired to other outlets and light fixtures- rocks out in door jamb instead of insulation- carpets buried in backyard only uncovered when installing a shed- boiler worked once (ironically for home inspection) and had to replace hot water heaterThe list goes on.

The best way to explaining this is for you to download an IRR calculator spreadsheet or build your own simple one and play around with one.For what its worth most deals I deem meeting minimal IRR standards is 13-15% but you have to dig a little deeper to uncover the real placements of cashflows and capitalization events... and then dig even deeper to verify the assumptions such as occupancy, rent increases per year, and what reversion cap rate was used.Again I don't look for IRR cause its manipulated a lot instead I look at total return on a 5 year basis.

Perhaps there's something a local expert would uncover. 

Yes, ultimately you have the discretion to cancel the contract based on anything uncovered in the inspection.  

I am looking at uncovered vs. covered parking stalls in Warm weather cities like Honolulu.

Could it be outside uncovered?