High crime areas will also tend to have the lowest rents.  

They tend to keep things in house and are have a bit more freedom to do want they want in these types of situations.

I tend to suggest Rotomolded, they're more durable and less expensive, without all the fancy jets and colors.

Ask and see if she is negotiable.Many sellers list property "as is" but then agree to adjust the price or make repairs.Many buyers offer to purchase "as is" but then ask for price reductions or repairs.Frankly, it drives me nuts.

However, rural areas tend to have less multifamily properties (depending how rural) so that can give you an issue with finding comps for your purchase.

Seattle is nuts. 

It should be possible to get a hard money loan to finish renovations but many lenders in the space tend to be hesitant to lend in these situations (running out of money mid renovation with already using a HML)

2) the financial upside of a non-performing note going to performing (funds will tend to take this for themselves)3) to not have all my risk concentrated into a few investments Partials seemed like a good option with those three requirements but maybe I'm looking for too much.

@Eli Joffe the most general but applicable advice in your situation is to start focusing on high cash-flow properties with low equity growth potential in the beginning in order to have the cash to boot strap.Once you have a few properties under your belt, then start phasing in nicer homes which tend to be lower cash-flow with higher equity growth potentialThe former helps you boot-strap using more labor and the latter helps build wealth more passively and with less tenant struggles.

My guess would be that as this GP is doing 1031 as a TIC into the deal he would be a little less likely to want a sale, which is a taxable capital event, and would like to keep his money invested and sheltered from taxation as long as possible which tends to fit with my investing style of long term/preferably forever investing.