Im not sure how far RWN should go to make things right as of course not doing your own inspection and appraisal is pretty stupid.

Still can be very beneficial for a new investor but personally I think not as good as a service as they had with their exclusive listings where they had inspections already done, rent rolls available, and you can complete the entire offer/acceptance via their platform rather than being handed off to an agent. 

Getting a rental license as an out-of-state investor is doable, but you’ll need to manage inspections and compliance.

The key is understanding the nuances of the program and making sure your property aligns with their inspection standards.In Detroit specifically, Section 8 tends to work best in C and C+ neighborhoods.

We're still waiting for the PM company to provide an inspection report on the setout & a rehab estimate for the turn.

It will almost ALWAYS be below asking price, so you will have to make 10s, if not 100s, of offers to find a motivated seller.Then the property will have to pass inspection, appraisal, etc.

Inspect immediately to verify.

Half of the PM's down here can't read contracts, don't know how to inspect a property for damage, etc. - they just use whatever contractor is giving them the most free stuff at the time.  

Do you know if this would be an issue when it comes time to having my 5 year DCA inspection in ( mid 2025) as the property is only register with them as a 4 family?

Manage cleaning (and inspect the work of cleaners).