The feedback I've received from people is that the legal side tends to be excellent. 

We have seen maintenance costs skyrocket over the past 2-3 years and every case is different but here are some general guidelines for reputable (non-crackhead) investor level pricing in our area of operations:Furnace and A/C replacement with lineset for standard 3 bed 1 bath bungalow.

Legal Structure – Would this be structured as a leaseback or seller financing with safeguards?

In total, including money lost from rent, legal fees, and repairs, the situation cost almost $30k.

Or a legal perspective?

Will the title company put this property under our LLC name, and won’t be required to legally inform HUD/tax authorities. - will it influence property taxes once we move to conventional loan in 3 yrs? 

The real prohibitive costs come from the legal, compliance, and reporting requirements of registering a security.

Your client should consult a real estate attorney to draft an agreement with the ex and ensure there are no legal or tax issues, especially since this is an investment property.

Seek legal advice, however, what I understand is that there are really two way to wholesale that is legal in the state of Arkansas.

It seemed like most the folks you have on staff are CPA or other, but no specific legal experts.