Would you still purchase the building, if it failed the Phase 1?

I've seen many people fail because they were trying to work a plan, a program or a strategy that did not suit their ability, their knowledge, or their interests. 

In most cases these project will fail.

Another thing I failed to mention above is that many people out there are in a safe and secure position e.g. they have a job with a regular paycheck.

I'm in a super competitive area need other options.I do know about the mailing/driving for dollars,but I'm trying to use the VA loan so most properties that will work out with that will probably  fail inspection.

This would be more likely if the person who does receive the deposit (or accounting) fails to share it with the others.Since each tenant may have a different “last known address,” it would seem that the safest approach would be to collect a separate deposit from each tenant so you can separately return them or account for them.

Fully understand its meaning, and impact on REI, and you can't fail. 

Investor failed to have title run before bidding.

I failed to act and heed Robert Kiyosaki's advice.

If they were totally rehabbed, there could be things failing that you don't see (i.e. hot water heater, air conditioning unit, roof, etc.).