Only current risk is sacrificing previous 90 days of interest accrued, but can be cashed in at any time.Time horizon is 7-10 yrs+

The risk is, again, going to have to be offset by increased rent.

The key value proposition of a turnkey provider is simplicity. 

risk is market retreats  well their risk I guess

General rule of thumb any investment where you want a quick profit is risky.

Also I believe the utilities are connected to the 1st floor unit.I just got an inspection done and sent EMD, but am having 2nd thoughts based on other people's sentiments about illegal units.Please let me know if this deal is too risky to proceed with.

I've always felt that hope is a risky investment strategy that is bound to backfire at some point. 

eXp doesn't allow many things that are technically legal but considered risky to the brokerage, such as net listings or off market assignment of contract. 

As a new investor, it's more risky to have just one property because if the tenant doesn't pay, then 100% of your income is gone, but when you have 10 properties and one stops paying, that's only 10% of your income. 

Here's why: 1) You can articulate clearly without anyone else in the way what your value proposition is and WHY you're offering a low number2) The listing agent gets two sides of a commission3) You're not getting 'hearsay' about the seller or agent.