They are then faced with gambling that rates will stay low until they can refinance or sell the asset.So how do forward commitments work?

If the bedroom carpets are ten years old, and they have wear from where they were walked on, I wouldn't charge them.

It's in relatively good shape, hardly any issues, and the current tenant is very cooperative and responsible, he intends on staying for at least another 2 years.I'm seeing this as an opportunity for my first buy-and-hold property.

I believe the primary residence can be rented for about $2500 if the rents stay relatively stable.  

I’m trying to stay a bit conservative with my future predictions for this particular area.

Tenants tend to stay in SFH's longer than apartment rentals, so I would assume 3-4 years, and turn over could be as simple as a wipe down and carpet cleaning if the PM is doing their job and screening tenants appropriately (although even great screening doesn't always guarantee great, clean tenants).  

"The survey found the worst, most outdated features in homes include linoleum floors (40 percent), popcorn ceilings (29 percent), wood paneling (28 percent), ceramic tile countertops (28 percent), shag carpeting (19 percent) and avocado green appliances (8 percent)."

It's not in too bad shape, but was a smoker's house and hasn't had any cleaning done in years.Based on a quick walk-through I'm looking at internal painting, minimal external painting, carpet replaced (or removed to get to the hardwood floors where possible), a bunch of minor repairs to things like gutters/eaves/etc.In a perfect world, this relationship would continue to care for the property as issues occur in the future.

E - 1/1 $450 lease from 7/26/2006 - Middle aged male likely to continue to stay for an extended time.Taxes on the building would be roughly $2500, Insurance estimate $1200.

I'll stay in contact and thanks again!