I’ve noticed some demographics, such as older generations, don’t necessarily care for all of the bells and whistles.

Rents have flattened and even decreased. 

We got a notice from RentRedi's underwriting team that they are holding the funds due to potential fraud.

Its been standing for the past 30 years and I did not notice any concerns with settlement, etc. 

They noticed right away and stopped parking there for about 2 months. 

Let me explain that better, imagine your rehab is $100k, you would need to do part of the rehab, maybe $10k, and then you can get the funds for those first $10k reimbursed so you can keep progressing with the rehab.Given your experience, I would recommend you start with a moderate or light rehab, mostly cosmetic work so that you can do it yourself and won't get your profit decreased by hiring third parties.

Your local bank may be vetting your finances and telling you 15 percent to decrease their risk.

I would give them 60 days notice that I plan to put the property a management company. 

I'm kind of inclined not to pay it as if he called us like he has in the past as soon as he noticed the issue we could have taken care of it.Any advice would be appreciated.

Definitely start by documenting everything—emails, city notices, all of it.