I agree that is logical, but would the IRS see it that way?  

The source of our data is a division of First American Title called Core Logic or RealQuest (we have no affiliation with them whatsoever).They are the industry standard for real estate mailer data for all types of real estate, in my opinion.

It must be my attitude towards it or logical steps to ensure I get the best client..

The logic behind this is to ensure that if one or two homes ARV(s) are not as strong then I have one that will still keep me ahead of the game once I pay my debt back to my lender(s).1.a.

It seems to me that, based on general comparative logic, using the "1 mile radius" and "sold in last 90-days" rules wouldn't necessarily yield fair comps due to factors like historic vs. non-historic neighborhoods, proximity to entertainment districts (Paseo, Uptown, The Plaza, etc.), and Pinterest-quality rehabs being next door to early 20th century homes in need of serious TLC. 

I will know more on the condition of the units and the building next week, but on the surface this seems like a logical deal.

With the right guidance from the right team of people with with and for you, you will make the right decisions based on facts and logic.  

Logic may be impossible to use with someone who believes they don't have to pay for their house, so maybe try an emotion based argument.Best of luck!

When you explain it as basic logic, who could argue away from 2% increase worse case.

The source of our data is through Core Logic or RealQuest.While there are many ways to get data, I feel that Core Logic is the industry standard for real estate mailer data for all types of real estate, since they have a direct feed from 98% of the approximately 3150 counties in the US.