@Shyam Sridharan if I understand correctly this is essentially the interior buildout of a new construction retail space?

Consulting with an experienced eviction attorney in Seattle is essential to confirm their status and to ensure you’re following the correct legal process for removing them, if necessary.Disclaimer: I am not an attorney or an eviction specialist, so this is not legal advice.

If buyer is important than yes, off-market is the correct strategy. 

I would tell them once they contact the credit agencies and correct all the information, they are welcome to apply. 

A couple of years ago, I worked with an investor who never updated the contact information for the loan and the Bank call the seller (ex-wife), that day she was mad at her ex-husband and told the bank her ex allowed someone to steal their property from them and they got no money, she was kicked out of her house and there were strange people living there.This could all have been avoided if the investor did this process correct.Get educated, also I do not know your attorney but not many attorneys have the knowledge to do this process correctly. 

So, if you fail to apply the correct assumptions to a property, your expectations won’t be met and it may even be a financial disaster.We use the following to rank Property Classes, in order of importance:Property Tenant Pool: closely linked to location, but not always.Property Location: closely linked to tenant pool, but not always.Property Condition & Amenities: it’s important to, “Maintain to the Neighborhood.”Key metrics for each Property Class:Class A Properties:Tenant Pool: Majority of FICO scores 680+, no convictions/evictions in last 7 years.

What type of properties are you looking to add to your portfolio, I'm assuming SFRs, is that correct?

My CPA has told me that i can move it from the inherited to my personal IRA, but I am struggling to believe that he is correct.   

Unforeseen issues always arise so @Scott E. is correct, always put a buffer of at least 20% on each deal for those problems that will pop up or more importantly, something that will come up on the buyers inspection that you will need to fix after you have your flip on the market.

At this point since it's after the fact while not totally correct; you may explore adding the missed asset/basis amount as a selling cost to just reduce your gain.