Based on your area, look for 2-4 units. 

So that 1500 would be cut down to around 500 or so maybe.So, does that mortgage on that property count as part of the total they would lend you based on your income?

Besides the huge knowledge base of the members here, there are tons of information in the Education tab

Remember, with pet odors replace what you can, but oil-based Kilz is your friend.   

In addition, some loans can have 5 or 10 year terms or not be fixed rate so if rates rise or you need to refi at the wrong time, sorry you lose.7) Overpaying - If you buy a property at too high a price you can cash flow but still lose because when you exit or try and refi you will pay around 5% in many cases to get in and out plus maybe not get your full purchase price out.8) Construction/contractor issues - contractors who take your money, do a poor job, take away too long etc. can cause major losses.9) Buying in the wrong area - If your B area turns into a C or a D the equity values will plummet as will your tenant base .

From what I can tell comps indicate a value of $150k based on a couple recent sales.  

I am assuming the property is older based off the materials described in the OP.  

Building is 1968- will have to find out about lead paintPitched Asphalt Shingle Roof with aluminum gutters, Ill have to double check but think its 5 to 7 years old.Separate meter for electric but owner pays for heat (Oil-- not sure conversion gas is worth it but option is there)Good question about wiring, i would've never thought of that..I would assume I want it to breakers..

It honestly doesn't need much of anything but may require a renovation loan based on listing.

We split it by number of bedrooms rather than square footage.The only push back we've gotten is on heating bills in units with poor heat distribution/insulation.Remind tenants that they are splitting all the base charges which is an overall savings for them compared to separate utilities.