Houses that are not mansions or mcmansions but do have more than 8 bedrooms come up on the market from time to time- usually these are early 1900's homes that have had significant additions and alterations over the years.

That way, you can alter the process to match your specific goal.Dependable Passive IncomeSo we are on the same page, my investment goal is dependable passive income streams, not just buying properties.

Roofs do not require any permits unless you 'alter the diaphragm' meaning replace sheathing.

Sure the raw number of 150/month may be the same, but you have to spend an extra 50k to achieve the same raw cash flow in the good school district which alters your ratios.So in the end the C class asset will cashflow better, and the A class will probably appreciate better. 

Alterations in buildings built before 1978 are generally (if not always) regulated by the EPA:http://www2.epa.gov/lead/renovation-repair-and-pai...If you simply want to know whether the building has lead paint in it you can purchase lead paint test kits at Lowes and Home Depot.You'll also have state specific regulations governing remodeling/renovating activities and licensure.