I forget which (Champaign or Urbana), but one is very restrictive on STRs...just make sure you are aware of zoning and restrictions. 

It's likely that while the market isn't red-hot, buyers are still willing to pay for the right property.Timing & Interest Rates: You mentioned that you dropped the price after the Fed cut rates, which could have spurred some interest.

Purchase price: $485,000 Cash invested: $125,000 This property was zoned residential and commercial.

Financing either is a bad idea and will raise a red flag with a lender who will look at sources and uses of the loan request.

Purchase price: $485,000 Cash invested: $125,000 This property was zoned residential and commercial.

I can't believe your second story  lol , seems like you had a deal in a war zone that is horrible lol! 

I've got a 5 acre piece zoned commercial (parts of it) and agricultural. 

What are some red flags to avoid? 

The property is zoned as a 2-unit but have 3 independent units to potentially generate rent.

I’ve worked a bunch on other large projects and inspections  (building, zoning, plumbing, and electrical) and have had no issues in PA and NJ.