I have no experience in selling estates and the selling part prevents me from pulling the long awaited trigger.A good friend of mine has had some rentals in AZ, but he wants to partner up the cash part with fixed return assuming 6 month transaction and a monthly fee every month.Being an all in-house contractor, I think I could bring value add and create sweat equity in a major rehab, at least 10% of the ARV, the uglier the property, the better I can create.

That is an issue that would require an expanding on the case law of the jurisdiction, something absolutely prevented by ethics rules.

In the end I felt good that we stopped further violence ( at least for that day) and maybe even made the guy think a little - hard to say what ever happened to the couple or how they turned out - if they were tenants of mine, I probably still would have approached them - if nothing more than to prevent someone from a continued beating if possible. 

@Danny Gilley if you used the standard NC lease form you are covered by 17(D) where partial payment does not prevent you from evicting the tenant.

This will prevent undercutting. 

We manage several properties in the so-called war zones and these are my take-away's if you're looking at those areas:- almost all buyers (investors) are cash buyers- very few would pay $50k for the area, most would be lower- Yes there is theft and some bad tenants that we have to evict, but you can prevent a lot of that with a good management company. 

If so, is the contract enough to prevent them from getting their house back?

If the majority are owner occupied, the board could change the bylaws to prevent or reduce future rentals.

If it wasnt the dogs or the pot preventing them from paying their rent, it would be something else. 

I would then put in writing that as preventative maintenance the dryer ducts be cleaned every 6 months or whatever is suggested from a duct company based on how the vents are set up.