If the comps pulled are selling between 280-290k and are very similar, should I be concerned with the end goal of this deal? 

We always send deposit refunds by check to a forwarding address provided by the tenants.

Address the issues as they come.  

I did a background check and was able to look up his many properties across all states so I really don't have concerns he doesn't have any assets.

ARV: Be conservative on your ARV since the appraisal concerns one person’s opinion.Timeline: Whatever a contractor says, add 4-8 weeks and budget for those holding costs. 

You need to contact the lender to make arrangements in addressing the delinquency.  

Anyway, I think @Saad D. is here on the forums and probably can address these concerns for you right away.

I address it in detail in my book, but here's the short version:1.

You're right that they are expensive, but when you consider the net present value of those dollars, it is well worth the cost (1.5% on the front end then 1.5% annually).My greater concern is from the regulatory side of things.

Lenders have liability in baiting borrowers, with disclosures, rejecting loans, in giving loans, or collection and servicing requirements, liability concerns are huge compared to real estate, violations carry ten years in prison and/or $100,000.00 fines, you better know what you are doing, and there are many brokers out there running small shops that have little if any compliance awareness.