At least in the relatively small sample size I have seen, the clients I have using them (represents about 40 entities between 3 clients), they do good and prompt work, and are good at coordinating with the CPA to ensure they get the reporting right for each type of property. 

Consider the following:- To maximize rent, you need to maximize what the operator can make, which means making the home as nice as possible for private pay residents and maximizing to the licensable number of residents- You don't necessarily have to have individual bedrooms, some can be shared, but check on the square footage requirement for bedrooms- No, $1 in for this type of reno will not equal $1 out.

I have found that just because one lender isn't interested in a particular deal or type of deal doesn't mean that other's won't be.

You may have to get a second personal loan or some other type of loan to complete the job.

It really depends what type of living arrangement you like best.

The seller isn't willing to discount, or give any types of seller or creative financing for this or the others..

What made you interested in investing in this type of deal?

Depending on the property type and transaction, lenders also have limitations and restrictions as to the quantity or percentage concession permissible. 

I think once you get clear on the kind of property you want, and type of guests you want to accommodate, you can then start into the due diligence of revenue and expenses to see if it's a good investment or not.Hope that helps.Mike

Material type and quality.