Richard, make sure the deal you are considering will look attractive to buyers.  

LIke Gene, I think you can get into some attractive new construction duplexes n fourplexes in San Antonio.

What attracted me to BPOs is I can work on them on on a somewhat flexible timeline (i.e. deliverable based).  

I travel to a lot of the smaller towns/cities around Edmonton with my work so I'm also looking at stuff a bit farther out where prices are lower but the cities are big enough to have a solid pool of renters.That sounds like a pretty attractive strategy.  

Her interest rate has to be good enough to make this attractive to someone.4.

My options are:1. keep price at 375K and wait2. drop price to 370K or even 365K (lower than what similar units sold in May'15) to attract buyers but TBD.

You'll have a much more predictable cash-flow from each unit, which adds value to the property, which makes it 1) more attractive to potential buyers, but also 2) more valuable as leverage.  

The unit you're looking at with those terms doesn't look attractive on any of those counts.

If your property is well cared for and priced right you will attract good tenants.

Now your at 422k+ That may not leave enough spread for it to be attractive.