I had discovered then the broken equipment that he claimed was damaged by a thief, yet not stolen and still the lender had not came to conduct his inspection.

Again, expect higher prices than your initial targets.Smaller Cities: Don't completely overlook smaller cities or towns with strong local economies (e.g., a strong university or a growing industry).

What percentage is fair to pay sellers agent commission and would I be expected to pay buyer agent commission as well?

Expect the unexpected and give it a number.

Did you expect it to be that lucrative when you made the purchase?

- Looking in Class A areas expecting to cashflow?

You have to adjust your expectations to match current reality, which includes higher mortgage rates, higher prices, more expensive taxes and insurance, more competition, etc.

  $200/month divides into the $100K initial negative equals 500 months to recover the initial negative equity.Let's double the cash flow to $400/month.  250 months to recover the initial negative equity so over 20 years.Let's reduce the negative equity position to $50K (which likely is less realistic than expecting $400/month cash flow at that rent point), you are at over 10 years to recover the initial equity position.Now let's do it with all cash, no financing.The 50% rule state $900/month cash flow.  900 * 12/200K = $5.4% or about half of lifetime return of S&P 500, or what can almost be achieved with a zero work, zero risk CD.I see no way that someone who understands the numbers will call this a good investment.Note just because an investment is better than most other investments in a market does not imply something is a good investment. 

I would caution you not to necessarily expect your NOI to be higher because you achieve higher rents leasing units to Section 8 tenants.

I'd recommend interviewing multiple PM's and seeing which one fits your style and expectations.