I was talking to a Property manager/investor (not the one I am using) and he said the  properties could possibly squeeze maybe $1000 between them all and also suggested maybe investing  $40K each to remodel/ renovate with another bedroom and bath to get close to $3000 for rent.

I would have loved to have started investing in the rental and house flipping business just out of high school... or even college for that matter, but we simply didn't have the $$, the life experience, or the home repair/remodel under our belts either.

Then again they will be high end apartments inside a building and the building I own is one story, four units with front and back courtyards; I suppose there will always be a market for completely remodeled studios with front and back yards in downtown Delray East of federal highway.

As an investor selling a nicely remodeled flip property, I need the service and am willing to pay for it

If not, you could also do a minor remodel with stairs and have the bottom come into landing, then turn to right and down a few steps.

We own two houses in Seattle and have been considering either remodeling one or doing a tear down/building new construction of the other.

I have 3 in remodel now and 2 pending on the MLS.

Have any of you had to remodel a house because it was functionally obsolete?

Let me throw out my Maslow Hierarchy of Needs principle for remodeling.

If the sum of all your small costs (faucet repair in a rehab etc) end up being a remodel then yes you need to include all the expenses.In general, maintenance is written off in the year.Not an accountant.