If some things are just legitimate "repairs" versus upgrades (fixing a leaking toiler), then yes you can deduct that portion.

I've gone through phases where my offers were net amount to seller versus purchase price with seller paying certain costs.

I would encourage you to read through the forums... leverage versus free and clear properties has been discussed at length in these forums.

My brother, not a RE pro, but self-employed, chose to limit his qualified business deductions for 3 years to make sure he qualified, a smart move as using cash only for a down payment, the rest invested in his business, versus having to pay cash for the home.

With your limited cash try to save up some more.If you only have 230 bucks saved up and you net 2,000 a month then you need to seriously look at your expenses and what are NEEDS versus WANTS.Eliminate the wants,sacrifice,and save up a down payment quicker in addition to paying down credit cards etc. to improve your debt ratio and credit score.Then find you a duplex,tri-plex,or quad with an FHA loan and live in one and rent out the rest to get going.You could also try to wholesale some deals to build a down payment quicker but that will be hard if your job keeps you really busy all the time.Good luck.Remember everybody had to start somewhere.Go ahead and take that first step.

That would depend on the language of the contract you are using.If the contract states that you are buying AS-IS based on the property not materially changing between executed and binding signing date and the closing date or you have the right to terminate then you should be fine.If you had no due diligence,buy- as-is,and no material change clause built in then you are in a weaker position.The notice as mentioned you just fix the deficiency.Even if it is set to be condemned you can repair and avoid that.It all depends on how much money will be required to fix it and get cleared versus the purchase price and after repair value.People always get worked up over earnest money amounts.I think that isn't as important as non-refundable money.I would rather have 10k non-refundable EM than 40k with a ton of loopholes where the buyer locks the property up and back out.The higher EM amount is worthless then to the seller.No legal advice.

Tiling a tub/shower versus a surround or cultured marble is a durability issue- I wouldn't go there.

Sounds like a daisy chain of people trying to get a "nut" in this world.I call these a "WOT" = waste of time.Reggie create your plan and follow it and do not let crap take away your focus and goals.If you are having a hard time gaining traction go to your local real estate investor meetings and try to find a local mentor (not a guru) who specializes in what you are interested in.You would be better off even if doing small things for free to learn from someone local who is having great success versus some info people are hounding you trying to take your money.

I think I am leaning with John on this one, with the cost/effort, versus chance of him coming back after me down the road.

Regardless of what you do many people will be sued in their lifetime for something whether it is valid or not.The best thing to do is be pro-active.Have a plan and run operations in a way that slant things in your favor if a case happens.When someone sues they tend to make many mistakes before it gets to court.Even if they have a valid or partially valid claim you can leverage their mistakes to weaken their position for a settlement before it goes to a judge.Money isn't the only thing lost in a suit.It's everyone's time to deal with it and money lost from not just the claim but focusing on money making activities as well.When an attorney sees an LLC or a corp versus an individual many will not take pro bono unless they have a slam dunk case.It will be more of a challenge with the extra layer of asset protection if you run it properly.You can create a master llc and then have a sub llc for each property etc.