Is the rent covering the taxes and insurance as well as the maintenance?

Usually $2,800-$3,300, then you add the prepaid items such as insurance, taxes, etc..I can give you the names of two lenders that can do the loan.

There are of course (sneaky) ways to inspect the property without tenant being aware of the sale discussion (posing as insurance agent etc), however I do not want to run this business in a sneaky way, and even create a perception of being scam-y or sneaky with the customers... 

What are implications for maintenance, taxes, insurance?

I told him if that happens I need to be on the deed (part owner as you stated), have a purchase agreement or a division of proceeds in place, correct?

Proceed immediately with termination of month-to-month lease, out by Nov 1st.  

                   ~ parking lots and sidewalks shoveling ~  Contractor must be insured

I have been working in the insurance industry for almost 10 years.  

Instead spend your money and effort on good insurance.  

(unless you can get a regular loan, and then just do that.From then on, you pay insurance, mortgage, repairs, maintenance taxes, and everything else that relates tot he house.