Hey, as Brandon Turner says "Take Action" you have alot of back ground so run with it.

Hello BP, I'm currently in the "research" phase of my journey to investing, but hope to get to the "action" part later this year. 

He has $150k in the ground and would offer the house to me at he cost because he wants to finish it.

Although I visit the area frequently and have owned units in Monroe County PA I am seeking investors that have there boots on the ground in this specific area of PA to share thoughts with.  

He says that since the apartment is not legal, the lease is null and void so we have no grounds to demand rent or evict him.We also have no security deposit.

Congratulations on your success getting things off the ground.  

Even if you put 20K into it and rebuild it from the ground up that will probably be cheaper than the cheapest new home.Taft being part of the Bakersfield metro is not at all a bad thing, and is where I would target selling it.  

Best bet in any market where you are looking to invest is to find an investor friendly real estate agent that operates in that area that can be your eyes, ears, and boots on the ground for you.

If you need a boots on the ground person that can help you with anything in my region out to central Florida from Daytona to Tampa, feel free to message me.

He says it will be a 50/50 partnership; he finds the deals and I'm the boots on the ground closing them.