Again I'm only 20 years old and my credit score is about 700 right now so a loan would be difficult without a co borrower.

Tenants that are one flat tire away from missing rent will not result in quality cash flow, and yet ironically these type of tenants are the kind that tend to rent in the type of neighborhoods that show the highest pro forma cash flow projections on paper ... too bad those cash flows aren't what you will actually get during a downturn, and you spend much of your time chasing down rent as opposed to growing your portfolio ... too bad that the increases in rents and prices will not tend to keep up with inflation in many of these neighborhoods too ...

With anything old, it's bound to be an onion of problems to replace, so unless it is necessary to replace it, I would not touch it.On the other hand, if everyone else in the neighborhood is updated high efficiency, then that's another story and it makes your house somewhat deficient.Not sure how you get from a $2K replacement cost to $6-10K value increase.

Or admit more students, both of which increases revenue. 

I am laser focused on  educating myself about analyzing opportunities to increase knowledge and decrease hesitation that results in missed opportunities. 

If there is any big problem with the property it is going to be difficult to sue the seller whereas you would likely have an easier time making such claim without the as-is clause.

Is it difficult to get renters there?

Even with a "manual underwrite" as suggested above, that is only for those federal loans and it would be very difficult to gain approval.  

With an increase of about 7% over last year in Denver (https://www.cpr.org/news/newsbeat/colorado-springs...) and no contraction in sight, scheduled rent increases should continue to multiply that $2,600 of mailbox money forever more, or at least until your portfolio review. 

You will probably have to increase the 1/2" gas line to 3/4".