I find that the information in that pamphlet is very informative and relevant.

Cap rates are 100% relevant in determining the value of a commercial property.

Leverage is VERY relevant.

DFE would have minimally saved you that appraisal.Of course, all of this is only relevant if the property really does appraise that much higher than purchase price.  

So, again not sure if this is relevant for you right now, but do know that sometimes the tenant-placing process can (and should) take a little longer than you might want it to.

I think that there are a lot of relevant factors that you need to consider.

Today's market is different, so my experience in doing these types of loans was in a completely different market and this, I don't have any specifics I can give that would be relevant.

For the purposes of talking to the son or possible heirs about buying it, code violations are not relevant at this point, nor are past due taxes.  

Obviously we'd guide them to the method that yields the most favorable results.The problem I see with this area of lending is that most loan officers(LO's) do primary and secondary residences as their main focus and usually do not understand cash or accural methods of accounting, their relevance, or how to calculate cash flow accurately to counter an underwriting decline. 

The home we bought was $90K + $10K of repairs and landscaping, and would only rent for around $750, which we knew going into it but wasn't particularly relevant as we don't plan to rent it out.