But how many people actually run a tight perfect ship in compliance with every single law, rule and regulation?

A broker said, "You will pay pro-rated taxes title recording fees and a $395 broker compliance fee" Is this true?

They do annual inspections and we are totally in compliance since they confirm our alarms are tested and not older than 10 years old.

A buddy of mine took even longer as his plans triggered an Environmental Impact Study.   

We have vetted the company and decided to pull the trigger based on great reviews and conversations with other investors.

On the psychological front, it sounds like you are feeling some anxiety which may be triggering "W2" thought patterns, which in turn may be triggering anxiety about falling into an "analyses paralyses".

As for selling with 10% down at 8% interest, you now have two title transfers that violate the due on sale clause and add complications to subject to “safeguards” that reduce risk if note is accelerated, if party in possession doesn’t pay taxes or insurance, and of triggering whatever system the lender has set up to notify them when a deed transfer takes place. 

Over the last 2 years that I've managed a short-term rental in northern San Antonio, I have experienced many small contractors that get so easily triggered, offended, and upset at me and my wife. 

However, older instances are to be considered more holistically, suggesting a more lenient approach to past financial or rental difficulties as time passes.Exemptions and Protections:Certain properties, particularly older houses that cannot easily be brought into compliance with current codes, are exempt from some source-of-income rules, acknowledging practical limitations in applying these rules universally.Landlord Liability:The ordinance provides protections for landlords in terms of reliance on third-party information to reject a tenant, mitigating potential legal risks associated with tenant selection processes.Fair Housing and Legal Compliance:All considerations of prospective tenants' applications must align with fair housing laws and other state and federal legislation, reinforcing the ordinance's compliance with broader legal standards for housing discrimination.

Plus if you are getting priced out of every other deal, moving too slow for on market houses, your realtor telling you that this is a bad time to invest, etc. then you may pull the trigger on a bad deal.