If I evict him, I'll have to go in now with about 60-70% of whats really needed (as no one else would EVER rent the place in it's current condition) but I suppose I could get it "rent ready" with the funds I have now in a couple months. 

The current fence(neighbors fence) is in almost dilapidated conditions and I’m fearful that this will discourage tenants in future turnovers if not dealt with so with that being said this weekend I plan to reach out to the new neighbors, I’ve already lined up one of my guys to install a new 6ft fence but it will require the demo of their current fence and the dogs to be put up while the work is being done(don’t need anybody getting bit) my question becomes though if you are a dog owner shouldn’t you be required to have a proper and safe fence or does this matter fall into my lap, I don’t want to make to make a big issue because well these neighbors could end up causing more trouble then it’s worth..

Buy a duplex or 4 unit (rare) focus on livable condition for one side.

Your lender documents should spell out exactly what requirements you have to meet.

(It has a layer of lead paint underneath that but the latex paint is generally in good condition, so only a tiny fraction of the lead on the exterior is exposed.)

Save that rental income and then when your first unit reno is complete you will have an exact picture of the time and cost to do each of the next units.

So we are not exactly newbies but not veterans either - we have 3 rentals and 2 flips right now.

I would try to lower my resell price since he is probably motivated as a seller and has earned two or three times his original price.The age of the house and all of the weather it has been through does concern me as well as the basement condition.( I might be a little biased because I've been in Dallas,Texas all of my life (for 61 years). 

@Nick Quintin I just came across this post so you may have already moved on but your thinking is exactly right. 

I'm thinking about going the "buy, hold and rent" route in investing and was wondering what exactly is needed to rent out to tenants.