Before we got there he was talking about the electrical panel and how most homes in that area in that year were built with a Union Pacific electrical panel that infamously would start fires.

the numbers crunch well. depending on the amenities and how they are hooked up, i. e. electric, plumbing, and such, i would say it is a good deal. if all of those items were hacked in place, you could have issues in the future, but if they were done correctly, then there is no issue. with those kinds of numbers, provided you can keep it at full occupancy, you will recoup any costs you have into the place in a short time. getting a profit in the end when you sell it would be nice, but if you are into it for the cash flow now, then profit at the end is a non issue. you just don't want to lose money if you can help it. i would say go for it. maybe have a home inspector check a few things out first, but if he says it is ok, then go for it. 

There is a garage with kitchen and appliances aka 'guest house' potential rental as a studio , currently is not rented but potentially could be for 450-500 with some tiling and flooring fix.The electrical of the garage is tied to one of the unit.Need advise in following:- How would you approach the possibility of renting the garage: owner pays bill for both and rise the monthly rent?

From the outside, it is strictly a cosmetic rehab with anticipated plumbing and electrical dollars in the budget. 

For those interested, it needs the following:Exterior: Paint Shutters & Power Wash all the vinylInterior: Replace Carpet, Paint Walls & Ceiling, Replace switchplates & outlet covers, Paint doors & trimUnpermitted enclosed patio: Relocate Electric Meter to exterior of home.We also put a sign & lockbox on another property which currently has a tenant.  

They were below market rents and the seller was paying utilities, then they lowered the rent a little and had the tenants take on the gas and electricity.  

The renters also paid for water and electric.

I am sure you checked everything but just make sure everything works and there are no obvious things that pop out at you like anything electric not working and having good water flow in all of your faucets, good water pressure in the bath tubs or shower.

It had TP, some local restaurant menus, local services/utility numbers (cable, police, electrical, etc), and a few other nick-knacks.

Hardwood and tile all the way.As for appliances, what is the average lifespan for a new gas stove, electric stove, refridgerator, diswhasher, washer, dryer?