While the house might be a "Waldo" if prices correctly and listed with a competent broker it should sell for more than a direct sale to an investor.If you are looking out for your grandmother encourage her to sell with a great listing agent in the area.

Example 1: on the Cash on Cash ROI:How are you arriving at the percentages listed for year 1,2,3,4,10,20,30?

The location (schools, restaurants, crime, etc) is decent but nothing too promising in terms of appreciation (3% annual average) Here are the details: Purchase price: $170,000Rental Estimate per month: $1500HOA: $1000/yrInsurance: $1100/yrTax rate: ~3.4%I assumed the following:I use a 20% downpayment on a 30 year fixed conventional loan w/ 4% APRNew build so warranty is covering most things so minor, if any, maintenance will be neededTake into account 1 month of vacancy per yearTake into account annual broker fee to list of one months rent~5K closing costs~2k in appliance purchasesResult: Assuming rent range of $1500-$1550/month and assuming 1 year I wont have to pay the broker fee to list:From my cash flow analysis I am projecting to have positive cash flow of around .02%-2.1% per year. 

Then the man's wife got involved, listed it with a realtor, who said it's really worth $500K, and 3 weeks later sold for $530K.

First deal to get my feet wet in REI but have quick question.In contract with a property that I expect will cash flow $70-150/month (10% vacancy, 10% PM, $100/mo comb. capex/RM); cash return of 7-13%, excluding what I'd pay myself to self-manage.2/1, rentable condition, listed at 52, offered 32, in contract at 41.5. 

inherited" tenants like yours are probably waiting to hear from you, so send out contact emergency info and have them respond and include with next rent payment a updated contact sheet,, I'd make an appointment to tour inside of each unit with condition sheet,, the condition from your date of ownership is now what you use for condition move out.. so once that's completed you now know which unit would be tops on your list to rehab and offer an early out to.. if that's a consideration.. you can of course let all tenants know the rent will increase to $$$ when their lease is up and you are accepting 30 or 60 day vacate notices early, they'll be prepared. 

The roommate listing service and craigslist were good sources when we were looking for my son.

Our most recent flip was listed on the market just about a week ago in Lancaster.

@Shara Surabi Beyond the options @Andrew Postell listed, there is the option of a Residential Portfolio Loan.

If you have a list of vacant houses - that's good.