The way to mitigate this risk is by getting a permit to legalize the unit(which may be a bit more difficult) or duplex the unit with digging down the basement to be in compliance with zoning and building codes. 

 @Shravan Hemchand Prior to pulling the trigger on a Cost Seg study, you should evaluate 2 things:1 - How much net additional deprecation tax deductions a Cost Seg study would provide: Best way to get this is by requesting a free feasibility analysis from a Cost Seg provider.

Your DTI doesn't seem to be a factor here - the issue is the 4 points not passing compliance. 

You will need to clearly set forth the circumstances that allow or trigger the transition of a new trustee.

Immeadiate gratification is my trigger word like Columbus is for that cartel.These answers come on BP simply cause of that.

The pictures look nice, and a drive-by didn't trigger any immediate red flags, but I am budgeting for the worst just to be safe.   2) How would I go about making sure the title is clean?

This can lead to non-compliance with building codes, resulting in future legal and financial problems for the buyer.4.

Did you pull the trigger on something? 

To answer your question there is no magic number that will trigger an audit.

Most states will award 3x the deposit in damages if you are sued so you better be in legal compliance.