I bought the property from a wholesaler that was working with the agents on behalf of out of state family members of the owner who had passed away if I remember the situation correctly.

HARD pass. 

and if it's sitting, and you see it, it means everyone else passed on it. 

I would try to verify the negative information and if in fact true, then it would be a pass for me.

This property, in particular, is in an area many local investors will not own, visit or even entertain as an investment.  

It's very entertaining.

The idea of raising funds from new investors to get them involved in selling lease option houses to tenants does not pass the sniff test.In a nutshell, this is why lease option is so terrible.

From my understanding doesn't seem as though it would pass through, rather the fund would benefit and therefore returns would be better.

And keep in mind private sellers and wholesalers dont help either when they wont entertain offers below ask either.

Yes it is new legislation that passed.