Sounds like an interesting project but I am sure there is more to the story.

Here's the problem: They are not a sustainable asset for most to own; they are difficult and costly assets to exit through a sale; if you achieve favorable refinances, you may be able to use those funds to buy other (hopefully better assets) but are now faced with operating highly leveraged bad assets. 

Am I able to do a seller's finance for the remainder 25% with the owner and then do a balloon payment at the end of my term with both the seller and the harmony lender when I flip the property.

The Idea is to create a new real estate asset class - the Room Condo. 

That's a steal, if you were going through me we'd be at 75-100k for this huge project.

Many become wealthy through real estate.

The auctions, although online now, are live foreclosure auctions, i.e. the auction style sale which is the culmination of the foreclosure process. 

Keeping it friendly and low intensity is more likely to be successful.I recently offered to completely replace my neighbor's fence next to my rental and they said "No".

However, one tenant isn’t paying rent, and it looks like I might have to go through the eviction process.When evaluating a rental property, do you typically use the 1% rule?

I do value her as a cleaner and she definitely goes the extra mile and are the eyes and ears on the ground for me.