However, if I didn't really have anything to lose, I would be trying ANY method/strategy to start and see where it goes.For now, I'm focused on building relationships with real estate agents, lenders, etc so I can enlist their expertise when I am ready.

It's a very manual process, but the more steps you have to take means that your competitors likely aren't doing the same.

The idea is that they would buy my property via traditional method 25% down conventional financing. 

Active investors like you, who might have a DTI higher than some banks want, should ask to use alternative UW methods like asset depletion. 

I’ve been listening to podcasts and reading mostly and am looking for input in regards to other ways to prepare myself for the next step.

@Joel Owens  Yes I know that's obviously the next step,  I think what I want advice about is what you think of the deal in general? 

Find people who have done what you are looking to do and follow in their foot steps.

If they leave windows open or back entrances unlocked, thermostats turned way up when testing the heat, Fridges/freezers not closed all the way, Bring in 4 kids who are running around and knocking holes in walls and tripping down steps (that they later blame on a piece of pulled up carpet) it all falls on your dime. 

this goes for most that buy courthouse step property.. no different.. 

A follow up question is, how much is expected in reserves using this method?