FHA approved appraiser must determine value for property and also do a health/safety inspection.  

The concerns introduced to me yesterday were that city inspectors could fine very severely for improperly dealing with such hazards and that abatement and other procedures can make a deal in my price range unprofitable.  

Protect your safety.

PLEASE take any necessary safety precautions while showing homes or sitting open houses.

Instead these costs are money held on deposit to pay the property taxes and hazard insurance premiums as then are due.  

I’m leaning toward taking the credit so I can lever up while keeping more cash for safety (this purchase is cutting it close).Are there tax implications I’m missing?

I haven't had any problems with them, easy to use kit, just make sure your contractor reads the instructions and follows the safety manual. 

It will depend on the condition - the appraiser will use their discretion to determine if either of those are a safety or structural issue.

I would think your stepdad could get on with a normal hazard insurer and out of the Nationstar mortgage policy.  

I have been actively acquiring Notes for passive cash flow since that time.I like the the passive nature, the safety and the cash flow that I receive from Performing Mortgage Notes.I upgraded to BP Pro & upgraded my profile.