If you sell directly to a homeowner, the issue can come back on you and bite you in the a...  

@Clark Harbaugh, Given the favorable tax rulings over the last few years (in particular revolving around trusts and their equaling a beneficial interest in the underlining propery) the IRS has actually been much more lenient (or at least silent) on these issues. 

Mom’s estate plan should probably address this separately from you. 

It's mostly Class A properties, a few Class B.You may find the below copy & paste info useful in addressing your question:----------------------------------------------------------------------------------Recommend you first figure out the property Class you want to invest in, THEN figure out the corresponding location to invest in.Property Class will typically dictate the Class of tenant you get, which greatly IMPACTS rental income stability and property maintenance/damage by tenants.If you apply Class A assumptions to a Class B or C purchase, your expectations won’t be met and it may be a financial disaster.If you buy/renovate a property in Class D area to Class A standards, what quality of tenant will you get?

The problems you mention are just known issues.

You may have to search a bit for the right contractor or engineer - sometimes I see one solution dominating in an area - "that is how we always do it"  Thanks for the input - yes, it sounds like the specific area this house is in is particularly bad for foundation issues.  

Avoiding the occupants from squatting is best addressed with background checks, employment verifications, and references before signing the lease.

There's a very good chance the issue(s) you face have already been discussed and answered.Ask questions in the appropriate forum.

I am happy to address any questions you may have. 

We have had a pipe burst during the cold winter months, the roof needed to be replaced (thankfully covered by our insurance), and some issues with electrical, which hasn't been majorly updated since it was built in 1973.