Say $1500 for new tile in the living room or $700 for new plumbing.

The contractor should have access to roofers, framers, concrete, pool, plumbers, electrical, tile, sheetrock, kitchen & bathroom installers, painters etc and should pull the permits.

Most lay people don't know what to look for, or what is damage vs. normal wear and tear, or how to interface with the tenant. 

Once you've ID'd 2 or 3 banks that like lending on the type of property you have, tell them, "Hey I am looking for a loan structure like this......" and lay out what you'd like to get and see what they can do.

Though I had a guy lay out a rooms worth of ungrouted/unthinset tile once when I was out of town to pretend he finished the floor to get a $$ draw from my husband.

Clean work.Are those porcelain tiles or?

when you hook up to city sewage , you have to pay a front foot assessment  ( covers the cost of the infrastructure )   then you have to pay a plumber to lay a pipe and connect , ( around $9000 ) then there is the hook up fee from the city ( around $ 20k in my area )    then you pay monthly sewer charges .i will take septic tanks all day long

For the broken ones, they can be replaced with new non asbestos tiles, they are available to match anything I've come across.

Say what you have to say, lay down the law, and get off the phone.

Maybe call a different mortgage company and lay this out as a hypothetical purchase you are considering making and see what they say.