Years of neglect.  

Hard to say without more information about your circumstances. 

The belief that the IRS will accept a few hundred dollars for the removal of a lien in which significant equity exists is based on a fantasy of urban myths or examples in which very unusual circumstances existed.In most cases, after a long drawn out process, the IRS may accept less than face value of the lien if the property sells for somewhere in the general range of its appraised value. 

That could have been a sign for me to know how neglected the property would be.  

IE your taking over existing debt then as stated that is called an assumption.. which can happen but most lenders are pretty tough to get those to happen.. you can take title sub too but that creates a whole nother set of circumstances and things you need to be cognizant of.

Years of neglect.

Depending on how long it's been neglected those pipes which are in the wall could have rot.

Be especially careful charging a tenant for the entire cost of carpet when the carpets are like 10 years oldPicture or pin holes in walls, as long as not excessivePainting the exterior of the homePressure washing unless there are oil stains from their autoRoutine maintenanceThere are many more circumstances that could and will come into play, but lets all work together to come to a resolution.

In all circumstances that qualify, the application for the new FHA loan is processed on a case-by-case basis, so a borrower will need to work with his or her participating FHA lender to see what is possible.

You may get hit with self employment tax too depending on circumstance.