The first floor kitchen and bathroom has been upgraded and I plan to add some fresh paint etc when the current tenants lease expire.

It is mostly rent-ready (will paint a couple of rooms), and I will hire out the property management.Here are the details:Anticipated Purchase Price: $64,000Market Rate of Comps: $85,000Anticipated Monthly Rent: $950 ($11,400 annually)Total Annual Expenses: $9070P&I: $3177Insurance: $300Repairs: $1000Taxes: $1769Property Management: $1140CapEx: $1000Vacancy (6%):  $684Net Annual Cashflow: $2330 ($194/mo)I see this as a nice balance b/t cash flow and potential appreciation.  

But all of that's very different than carpet getting thrashed, shoving who-knows-what down a garbage disposal, have to do more paint touch-up after a 12-month lease than living in your home for 5 years, etc.

Minor, mostly cosmetic stuff, maybe appliances, paint, carpet, hardware, light fixtures.

(he only paid 10k for it at auction and put in maybe 10k for all the new dry wall and paint.) thinking MAO isabout 45kSecond House is a 2bd/1ba that just needs about 15k in repairs. an updated kitchen, paint and refinishing of the hardwood floors on the main level, a few cracks in the stucco and some paint. purchased for 45K and ARV is at 109k.

We may want to paint a little or something but there isn't much needed for renovations. $1,100 annual property taxes. $250 insurance

The way I see it, a Buyer could put the cheap flooring down, fresh paint and could flip it for a fast and easy profit OR just rent it out.

Now, I agree with your agent - a perfect home, nicely staged, freshly painted, landscaped sells a whole lot quicker than one with issues.

I'm hoping to get some input (I've on an offer given the following:South Central Michigan - Desirable school districtListed for $130,000On market since Aug. 2104 without price reduction~45 years oldOriginal furnace in both units (works well but old - not inspected yet)Roof is ~20 years old (OK condition but old - not inspected yet)New windows in 1 unit, original windows in other (aluminum - good condition - not inspected yet)Unit 1 needs cosmetic work (deep cleaning, minor drywall patchwork, painting, carpet replacement/cleaning in several rooms)Unit 1 shorter term tenantsUnit 2 is pretty clean and nothing needed by way of cosmetic repair.Unit 2 has long term tenantsBoth units rent at $825 per monthSelling agent cited "income potential" for firmness on the price.Based on the repairs that are needed, my gut feeling is that $130k is too much.

So now I feel that I am paying 15k for an expensive fire escape rather than a deck and I feel I am getting ripped off.