I must still be confused...so...lets go off example 1, forget my example 2 it wasn't a good one.Purchase Price: 156k... 20% of that for a down payment is $31,200.   

However, my family member saw that the neighborhood was starting to head in the wrong direction when they saw that some windows were being boarded up down the road and people were letting their lawn and shrubs wither.

Then, look for distressed properties - ex. poor landscaping/tall grass, doors off hinges, broken screens and windows, etc. 

She's a good tenant, just flighty and forgetful sometimes it seems.Thanks!!

Call the local water authority.You're forgetting management (10%).

I heard about the Rebuild NWF program providing 75% funding for updated impact windows but unfortunately that program ran out of funding recently. just missed the cut :(Anyways, it got me thinking so Im interested if anyone knows any kind of programs like this for any type of renovation/installation that I can take advantage of as Im bringing this home back to life.Thanks in advance!

The unit and a/c, roof, exterior, windows, and appliances are all good.

Just forget construction and buy the existing triplex, or do new construction? 

Also in the world of asset protection (not legal advice, just opinion) there is a concept known as equity stripping which means you protect your capital by pulling the equity out of it so if someone sues you there's not much to gain except for getting a charging order to obtain your rental income which there are ways around that too."

So I expect little work is needed and I drove by the building tonight and saw they have window AC units.