Make sure you get a good home inspector to go through with a fine tooth comb.

Would the inspection/permit list "2 kitchen sinks, 2 lavs," etc, or would inspector also check the original single family, and list "3 kitchen sinks, 3 lavs," etc?

you will burn bridges fast. very fast.what you can do is make offers with an inspection contingency. this way you can say you found major issues you were not aware of. at times though, they'd need an inspection report from the inspector.

I once almost bought a building that was close to being deemed a nuisance.  5 months later, the city demolished it.Perhaps find a property that is far along in the process and call the city inspector assigned to that property.  

And as a realtor no one questions your ethics :)Alternatively go get your home inspectors license.  

My thinking is a good contractor, or an inspector, should be able to spot needed structural repairs, to make up his bid.

What will a buyer's home inspector do that a seller's home inspector hasn'tLikewise for termite inspector.

hi jeremy. i would agree with bill. i would bet the downspout was draining right next to the foundation which is completely against the whole point of a downspout. you want to devert water away from the house, not dump huge amounts of water right next to the house......lol. i would have to say, from a home inspectors point of view, the water has probably eroded the soil beneath the footing and caused the footing to collapse, allowing the foundation to crack and collapse with it. you could get away with just tuck pointing it, but it will come back. the repairs could be extensive and expensive and jacking the house could be involved. it could also involve a small area of the footing/ foundation and allow you to rebuild just that area too. hard to say without actually being there. check with a local structural engineer and weigh the costs verses the value of the house. after all, thats what real estate investing gets down to. good luck to you

The inspector came back and said he wanted us to add an outlet in the bathroom, this is the only thing that he noted. 

it's just an opinion, one thing with all this knowledge here some one will see or think of something i didn't like holding cost, insurance, permits, inspectors.