First, insurance often does not function great for larger claims (claims that exceed your insurance maximums) and these are generally the types of claims that have the most potential to be catastrophic because they can cause you to lose not just the property at issue, but other assets as well.

If your goal is just to replace a good part of your W-2 income, then why not rotate that pile of equity into a CASH DEAL.

All of the above posts are accurate in that rent is a function of your local market; the mortgage is your own function.That being said, appraisals can vary widely. 

adding a fourth bedroom and bathroom along with updating lighting, painting, and making a functional garage.

I've also been in some buildings that would require pretty significant work to the HVAC units to have the controls and such be separated and functional also. 

I think my years as GC lent to this because the whole existence as a GC is via doing many JV's, every build and all sub's are in function JV's on the project.

As far as price point you want to go up high enough where people are will to pay for great design and not just necessities like a functioning HVAC.

Please advise resident chose to exercise use of the Security Deposit Waiver Program where they utilize an insurance provider to carry a bond similar but in lieu of a security deposit on the property.This program is a product offered through a partner insurance company, XYZ, that old PM has approved which serves in lieu of a traditional security deposit and provides reimbursement up toone month’s rent, functioning as if a deposit were collected.Please note that this product can only be activated at the time of vacancy, and it is automatically voided if property management services with old PM are terminated.It cannot be transferred to a new management company.In the event of a mid-lease transfer, your new management would need to either:Offer a similar deposit replacement product, orRequest a traditional security deposit directly from the resident.

Both the market and an appraisla will not give you full value.Financially, the issue is that most of your expenses come from things you have 1 count, regardless of home size: HVAC, water heater, plumbing, electrical, appliances, kitchen,  chimney, driveway etcIncome is a function of the square footage and bedroom count and you are very low on both.

It may be worth comparing the cost and functionality against your current setup to see if it’s a better fit.