We have a lease break document that outlines terms of the lease break.

, you can give them a notice outlining the changes that are coming. 

The appraisal outlined perfectly the items that devalued the property and so those are being addressed in the renovations now.

For most effective use of his time have at least the outline of an operating plan in place.

Typically this outlines that the commission due to the seller's agent is not dependent on having another agent involved nor does it matter if they represent the buyer or the buyer wants to go unrepresented. 

As an example, the steps @Chris Levarek outlined (which were great), sound to me like general solicitation.Investors don't need to be accredited under 506(b), and if they state that they are, you don't need to verify.  506(c) requires you to do a detailed review to ensure they are all accredited.You're doing the right thing in meeting with an attorney, so this is not legal advice, just general guidance about where each of those options might take you.  

Your rights and abilities are clearly outlined in your contract. 

@Paul Tibok - Go with the FAR/BAR Lease, it is the one I prefer because it is balanced and it clearly outlines responsibilities and recourses for both sides.

For reference my process typically goes as follows: 1) Lead comes to me from aparments.com 2) I send out a template I have been refining, outlining the specifics of the rooming house and some FAQs I get a lot.

The costs are within the range you outlined above and depend how complicated the deal is.