I couldn't fix anything when I started, now I'm mostly self sufficient! 

Initial cost is driven by home buyers making it too high and rent is rarely sufficient to cover expences.

Double check that is correct.You might want to reevaluate the amounts you are holding for CapEx and Repairs.  15% together is probably sufficient.  

You may or may not have sufficient primary insurance, but I highly doubt your PERSONAL umbrella policy covers business pursuits, no matter how hands on you are.

I would make the decision based on the math and protect for contingencies, i.e. make sure you have sufficient funds to complete the remodel (I like 2x to be safe) and have a plan if things get delayed or the market changes to make sure you don't get stuck with the higher rate for too long.

Good afternoon,I have clients that are currently interested in a triplex property and qualify without an issue but the property itself does not pass the FHA self-sufficiency test without one of the unit’s income, since it has to be owner occupied for FHA due to one of my clients having a foreclosure on their credit that won't be removed until March of next year.

well part and parcel of most contracts is marketable title .. this title right now is not marketable if they don't have the money or there is not sufficient equity to pay the liens then its a sale fail.  

However, always protect yourself with sufficient insurance coverage and good contracts if you're operating as a general partnership/joint venture.

This is called "self-sufficiency test" and FHA requires it on all 3 and 4 unit properties. 

How sufficient, secure, and stable is her income source?