There are more actors in this industry than their are in Hollywood...an abundance of caution is warranted. 

Duval (jax Fl)(just actor in Property manager)(or airbnb monthly, find manager for that and periodically live in it.. :)

This actually helps act as one final screening method as well as there are some bad actors who will run once they have to actually show up with good funds. 

An act or omission shall be deemedwithin the reasonable control of a party if committed, omitted, or caused by such party, or its employees,officers, agents, or affiliates. 13.

Your state's Code will likely have a full list of types of properties that are exempt if you search for "exemptions from Disclosure Act" or something similar (court-ordered sales, estates, REOs, etc.). 

I don't think I have it in me to foreclose or sue them unless they were extremely malicious in their actions towards me.Thank you for any advice you can give!

Some of these things are the cost of doing business as long as it is wear and tear and not something maliciously done to your property to damage it.

If you bail bad actors out every time they get into trouble, they'll just keep doing it. 

Not all operators are bad actors, but be sure to do your due diligence.

You can ask for referrals, but every property is different and while there are some scumbags out there, I'd like to believe most of the bad wholesaling is done from inexperience and not malicious.