Since inside condition is unknown you need to make assumptions of repair cost.

Whether I flip or build value and hold onto a property, is a question that remains unknown until I come up with a more detailed plan. 

I really feel like I'm in over my head, but still I don't want to walk away from a great opportunity out of fear of the unknown.

Unknown people on the lease?

Safety is number one, which is one of the reasons we NEVER allow any of our staff to show property to unknown prospects after dark. 

My understanding is the underwriter want to be assured you didn’t take on any unknown debt to obtain the down payment.

I'm looking at property management fees ranging from 10-30%, miscellaneous fees/costs at varying intervals (cleaning, furniture replacement, special assessments), nightly rental rates ranging from $50 to $150, and totally unknown vacancy rates that vary drastically from building to building.

I drove by there 4 to 5 times, tried to convince myself to purchase it, but still don't have the brave to buy it due to the unknown class of tenants.  

The project is expected to begin as early as August of 2018.[12] Proposed Student Housing Project on the NW Corner of Euclid and Speedway- Local developer Michael Goodman and national developer Peak Campus have proposed a 5 story development consisting of 163 units as well as 8,000 SqFt of commercial space for retail and restaurants.[13] New Project Could Bring One of the Tallest Buildings to Tucson’s Downtown Skyline- Although details are still fairly unknown, it appears a new development at the parking lot located on East Broadway between Sixth and Scott Avenues will bring a 300-foot towner with office/retail space, parking and residences.[14]New Mid-Rise Apartment Coming to Downtown Tucson- Located next to One South Church this new six-story project will consist of ground floor commercial space for retail/restaurants as well as 100 upscale one and two bedroom apartments.

Fear of the unknown tripping us up.