This can include recent comparable sales data, repair estimates, photographs of any defects or damage to the property, and any other relevant information that may impact the property's value.

Not only should you disclose that you are licensed but you should also disclose all known defects.

The steps above are also assuming that I have cleared all known title defects and waited the 45 days.

I'm sure I didn't think of everything, but I covered a good amount of ground.Some examples of the provisions (many of these have more detailed descriptions in the lease, this is just for illustration purposes):Windows must be kept shut when it's raining or snowing.All pipes must be dripped during freezing weather (tenant is liable for any burst or leaky pipes that are a result of not dripping the taps)Wood floors / granite countertops / and butcher block counters can only be cleaned with certain products that I list (and I list forbidden cleaning products that can lead to damage, such as vinegar for floors or granite).The dishwasher can only have dishwasher detergent (ie Cascade), and DO NOT USE dish soap.There will be a cleaning fee of $x if the premises is left unclean upon vacancy.Any property left on the premisesA list of things that are forbidden from being put down sinks and pipes, and a provision that if a plumber is called and the repair is due to anything other than defective plumbing, the tenant is responsible for the cost of repair. 

For example I am structuring right now transaction for a client that will remove $400,000 of taxes from his estate by moving the policy to a defective grantor trust, without triggering either 3 year look back or transfer for value rules.

In my state of TN, seller's are required to disclose adverse material defects.

Second, a code violation may or MAY NOT constitute a material defect.

Are these defects being disclosed in your Sellers Disclosure, or do you not know about them at the time of sale?

I received this inspection report and I am just wondering if the defects on there are fairly standard or if this looks like an absolute disaster.

As @Steve Babiak & @Kevin Perk stated tax sales often have a cloud or title defect, since a third party (the taxing authority) sold the property without the owners permission.