These two factors were the value adds in this deal that made us pull the trigger.

As an investor you want to make the numbers work for you, and if they don't, you simply do not pull the trigger.

Rent is below local market getting lots of inquiries but only a couple applications and even those fail to pull the trigger on signing a lease. 

Will take Trulia's output into consideration, but by that same logic, parts of Dupont, most of U Street and all of Shaw would be considered off-limits, since most parts of these neighborhoods are dark blue on Trulia.Anyone have direct experience with some of the neighborhoods off of Central Avenue, near Central High School?  

As you mentioned, whether you'd want to invest there or not depends a lot on your risk appetite (aside from lifestyle considerations).

 I would only do the ARM if you will Brrr the property or if you will pay off or pay down the property considerably in 5 years. 

I also believe in LLCs for asset protection even though it could trigger the 'due on sale' clause. 

So I have structured my deals as leasing at xxx dollars, $10,000 given in consideration of the option in which the price of the house itself is lowered by the $10,000.

I would prefer to be closer to $500,000I am looking for an agent that possesses the following:1) Knows the market front to back2) Understands value add opportunities3) Shrewd negotiator 4) Willing to submit offers decently below list5) Understands distressed salesThanks for your time and consideration!

Hi Riley, typically properties of that size are valued based on the sales comparison approach with a tiny bit of consideration given to investment performance.