It was created to help a person I know, and to get me into real estate investing with a lot more funds.The ProblemA person I know came to me needing money (10k+).

If down payment is your problem, as Brian said, you can get the FHA loan with 3% down or ask your family/friend help you out.  

Loans scams in this financing niche are a problem, as I said, and the top 3 scams found most prevalently include:1.Fees paid prior to closing a loan: Also called upfront fees, there are a lot of fake lenders who pretend to be funding loans but instead are having borrowers pay upfront fees.

As far as tenants go, I think the area is one big problem as well as my upstairs unit being less than desirable.

No...the government bailing any of them out creates a too big to fail problem...as does a financial structure with GFE intervention.

I'm hoping to have a good tenant ready by the time he moves out and if that's the case I have no problem as he gave me good notice and has been a good tenant for 6 months However, if I do not, what actions do you recommend?

The problem as I see it is we (investors) are competing against home owners who desperately want/need a home.

The only problem, as you can see from the pictures, the building itself is a horrible pink with an ugly design.

Basically if you can assign the contract within the first few days I don't see a problem, as long as that's not your only exit strategy.

i had that problem as well.