However, the lender must verify the borrower’s employment for the most recent two full years, and the borrower mustexplain any gaps in employment that span one or more months, and indicate if he/she was in school or the military during the most recent two full years, providing evidence supporting this claim, such as college transcripts, or discharge papers. 

This is a good indication that he wants to stay long term, but you must be careful not to set the precedent that he can do this without going through you.

I hope that's not an indicator of things to come. 

Higher amounts of earnest money indicate a more serious buyer.Just make sure if you do agree to $1000 that you have the money held by the closing company or some other third party to protect yourself. 

It was last renovated in the 70s (at least if the laminated cabinets are any indication).

Wikipedia indicates the population is dropping.

- A Tax Deed is certainly a “Real” Deed; however, it may not be an indication of ownership free of the claims of others.

If not, past returns should be a good indicator of future performance.

But I would be circumspect about how I requested the records (need them for personal research project), how the information appeared when disseminated (all indications that it came from the State would be removed), and how I phrased my interactions with property owner's who were identified through use of public records (I'd never mention that the owner's identity or address was obtained from the State or County, only that obtained the information legally at considerable cost).

The reason 10% sounds to good to be true, is because a cap rate that high is indicative of a high risk asset.