I would have to examine the portfolio more closely though to give you the best advice.

Clerk's office has never seen this, title examiner is surprised and the homeowner has no idea.My RE attorney is suggesting we close on the property with a lien exception on the second and then go through the judicial process of obtaining Quiet Title on the property. 

Do you know anywhere that this strategy is examined more in depth?

Also, you want to get a title commitment from a reputable title company and you want to have a chance to examine the state of title.

With Condo's you need to make sure that the Inspector does not just inspect the Condo itself, but does do an exterior examination also.  

Examine their management agreement, check to see if there is an out clause if you are dissatisfied, make sure it spells out the responsibilities of the owner and the property manager7.

The milestone inspection consists of two phases: a visual examination of habitable and nonhabitable areas of the building in phase one and, if needed, a phase two inspection that may involve destructive or nondestructive testing to fully assess areas of structural distress.

Then a queen trundle in another and a bunk bed in the third.And I'd re-examine why you you want to squeeze as many people as possible into such a small house?

You can examine the number of available properties, search trends, and the ratio of demand to supply.

I have also completed a 63-hour Pre-License Real Estate Sales Associate Course, and I plan on taking the state exam in the coming months for my License in the State of Florida.