Does it need enough work that it will not pass a conventional mortgage appraisal, thereby limiting yourself to cash buyers?

That will leave you with limited funds to actually purchase the house.

Keep your chin up and try to limit contact with your lawyer to dealing with actual issues with opposing counsel.

Rent out to roommates so I employ the "rent by the room" essentially.Pros:insane cash flowif your room offer is much better value than other places to live, tenants will stay awhilea small community can be built when your tenants become friends with eachothernever ending supply of tenants (at least in my area)Cons:CAN BE management intensiveWILL BE management intensive until you gain experience and know how to manageIf you employ this strategy, the BIGGEST risk/liability mitigator is being VERY clear from the start about your expectations and that you will evict if new tenant doesn't follow your rules.With my setup - I furnish the rooms and have all utilities covered. 

However, I'm not sure how to do that with limited funds saved up. 

SF has a limit of 90 days per years for AirBNB in the city otherwise I would keep it and short term it all year long.

Create a Limited Liability Corp [LLC in my state] and recording the deed into Commonwealth.2.

Or is it limited to 1 property per individual/LLC per year? 

The real estate agent angle is a good one, but it may take away from time with your kids and limit your investing biz in the end. 

There were challenging grading issues and limited access from the street to bring in utilities.