I have an interior design background and can make this property really cute, but is it worth it?

You can create multiple subsections. 

It sounds like you are off to a great start already especially by educating yourself! 

This is the scenario you would want. 

That's because the city won't calculate the actual amount till a structure is built, aka it's not just a plot of land anymore.This will obvious cause your property tax bill to go up and also your mortgage escrow account as well (sometimes these things can make your mortgage shoot up a few hundred a month). 

This topic is literally discussed every day and you can glean a lot from other's comments.

What strategy are you currently interested in pursuing?

If you're going through mental gymnastics to make it work, then it probably isn't your primary. 

If there is a tenant in the property expect that they will likely leave within 6-12 months after you purchase so you can expect to do a rent turn and budget for that.

It will be easy for you to check if they paid on time, as you can check instantly online.