I see a lot of commercial RE struggling, lots of people are highly leveraged, interest rates are higher, and labor is through the roof.  

If the fixes are cosmetic or minor, that’s a big plus, but if there are larger repairs (roof, plumbing, etc.), ensure you budget for those.

We put in around $30,000 to replace the roof, floors, paint and kitchen.

Older buildings with older systems: plumbing, electric, HVAC, roof, tend to have more maintenance costs than newer properties.  

Even if you had a dozen mid term rentals in a cash flow market (which would probably be $2-3M of property), you're probably only going to net $4-5k/month hoping to avoid the big capex expense like a roof or furnace.

Also the inspection photos show some of the roof joists look like they're partially cracked.   

This was a 3bed 1bath that needed everything besides a roof.

I often wonder if the remote location (20 minutes up the mountain) is a turnoff and travelers are starting to prefer motel-like accommodations that are close to the main highways.Houses in the middle of the woods with no view, houses that are non-cabin style like they belong in a normal major city suburb, no game room, no deck to take in the view, no hot tub, no area for a fire pit, no room for extra activities like corn hole or throwing the football, poor driveway, steep entrance, tons of stairs etc.

We are still under construction but we ended up having to do everything including sub flooring, attic, roof, HVAC etc.

Originally posted by @Jonathan Mueller:Ok so I just bought an extended stay motel in Michigan......and I live in Utah.How it happened: I was under contract on a single level 9 plex in a small industrial town in Michigan, I flew out for the inspection and we found mold all throughout the roof and the crawlspace.