With no one properly trained and no one tied to the bottom line of the company, the staff generally stopped working and caring... with the exception of the inflated work orders to compensate for the uncollected rents.

The banks are simply being compensated for the higher risk of doing a commercial loan. 

I would expect some compensation.  

If he wants the house and just doesn't have cash for the fees, you could see about raising the sale price a little to compensate his request.

Connect with me here on BiggerPockets and I'll gladly make a warm introduction.For the record, I receive ZERO compensation for making this referral!

Often the sellers discount the cap rate a little to try and compensate but the property structure is still a loser.

As long as you understand that you are going into partnership with your landlord and he is receiving compensation above the standard rent then anything can be worked out.

Is it possible to set up a partnership to buy multifamily (no one being GP, LP) where one person is property manager and gets compensated accordingly?

They can start with their cancellation policy, vacation rental property owners, where people book months in advance, are expected to allow their guests to cancel one week in advance with no compensation???

Some ideas to help:* Let the tenants know that you know the house isn't well insulated, and you'll compensate them $200 per winter season for the poor insulation