The presence of the dehumidiers is something, but -- and I'm no lawyer here -- I'd bet that's not enough to hang your hat on in a lawsuit.

That’s the best bet.

This exceeds the small claims court's limit of $10K. 

Provided your Sub2 purchase closing is done complete with all the necessary paperwork (e.g. limited power-of-attorney between the sellers and you), refinancing should be no different than a normal refinance.Sub2 can be heaven or hell, depending on the quality of your closing paperwork.

You will probably have some sort of limit regarding mold/medical, but thee things can turn into a mess, trust me, I manage a lot of units and have done so for almost 30 years. 

We also try to note everything wrong that is readily visible and then categorize each issue as:1) Health & Safety2) Property Preservation3) Marketing Negative Impact4) MiscellaneousThis can help owners make better decisions on which repairs to prioritize, especially if they have a limited budget.

The NAR Settlement doesn't mean buyer agents won't get paid, it just means they need to be more transparent about it.Like others have said, your best bet to purchase with lower fees and overall better price is to prospect and find motivated sellers.

then the investors like myself are limited partner?

I'm not a lender so make sure to double check, but I believe the DSCR loan will be the best bet.

Many of them have limited ability to understand value and scope of work because that's not their expertise.