(happening today)-City informs me that i don't have any easement rights because nothing was ever recorded. 

Sometimes this happens as zoning changes over time but the residential use remains legal.

I am very very new this is the first house I am ever buying.

The desirability of a neighborhood changes from block to block and crime is generally higher than neighboring suburbs.  

Look at it if you want, but if that is all you look at, you are short changing yourself.

Lot of people excluding the most important R that differentiates a flip from a rental - the RENT part...financing generally changes if you don't have a tenant or lease.

The fact that you are working with a loan officer who is coaching you on committing fraud, you may want to change your circle of influence. 

Some may have you sign something that say you don't intend to live there ever.  

You can get the cashier's check and do any other banking transactions from the convenience of your home office or mobile device without ever going to the branch with any of these banks. 

The victim in some states has the right to ask you to change the locks.