My concern really wasn't the extra week of payment but just that I need her to move so we can go in a different direction with the property.

Maybe we're just being nice and living up to our original proposal, which is okay, but I want my realtor to tell me this is and instead he is telling me we cannot ask seller for reduced price in lieu of repairs since the appraisal came back high, which seems inaccurate.At this point I'm less concerned with the price reduction and just more concerned with whether or not I'm getting accurate/honest answers to my questions.

The concern is if they do a hard pull on your credit,  your credit score will be impacted. 

My concerns are the amount of margin that will be consumed by financing the property as well as capital gains taxes and possible holding costs.

I'm concerned that you wrote the property is being used as an unofficial duplex. 

Whenever I tag along for an inspection, I'm always asking questions that are of concern.

A few years ago talking about any liability by owning notes was not necessary, however we now have 3 areas of liability concern as a lender.

They're still selling though, so obviously there's still ways to profit from them (Cali appreciation, paying tenants to leave, waiting years to get to market rents, etc.)Anyway, you're not the only one concerned about their local market.Good luck!

I wanted to bring up a concern of mine as a rookie investor.

We had to take them down and open up the wall to address some plumbing concerns so keeping them was just not feasible.