It is always a gamble when spending money.but like the movie Field of Dreams said over and overIf you build it they will come.I believe that there are people who although don't make muchand cannot afford the extras would love to have the extras and take care of the privilege.What I have found is that if you price too low you get people who are too slick for their own good.It is my model to offer the upgrades for the same price as my competition.not lower but the same.So the value is built in upon lease signing.

Establish the ground rules and stick to them.

This is meant to establish the loan as a commercial investment loan NOT a consumer loan. 

So, we took a gamble and sold our home we forced sweat equity into and took our equity and ran west to start over again.

@David Gamble - If you are wholesaling this deal you with the numbers you provided you are leaving zero equity to the end buyer.

So for your re-positioning scenario it just means you will absolutely be seeking new tenants allowing you to set a new rent which is capped at 7%/ year rise....until a new tenant moves in.There is still not an established requirement for a 'just cause' eviction (I use that term loosely because no one is being evicted in a 'non-renewal' scenario) so you are still able to non-renew and then raise rents.So that said....This is certainly the stepping stone.

When you are first starting out it is always best to have a contractor with you to establish a “safe” budget.  

I am still in the rehab phase and it hasn't been easy (lots of traveling back and forth because I am still establishing professional relationships with contractors, realtors, etc. and the level of trust isn't there just yet) but I'm making it work.

So while I did note that there are some new businesses, and some very old established ones that were there since I was a kid, I also see that there is emptiness where there was once vitality.

But then again , I still like to gamble in little ways ,like grab a rattlesnake by the tail. ;).