I realized 3 of them were owned by the same person on the same street, and after some Google detective work I found his cell and learned he was 62. 

Wow @Bonnie Low, I did not realize that could happen when it comes to HML.

I'm a semi new home owner now and have been remodeling my house and understanding price points for certain sqf and realizing that alot of the money being consumed is in hiring contractors.

Just realize that that mostly all luck.

You get all excited and then your excitement turns to disappointment when you realize that there is no price on these types of properties.

4) I'm realizing there may be some untapped potential for more off-market deals like this and would love to learn from/partner with someone who has expertise in this niche.

With interest rates as low as they are right now, usually it favors the investor to leverage the property and realize a higher percentage of ROI or CCR.

You've gone to a bank that tells you they'll let you cash out at 75% LTV, but when running your numbers, you realize that this is less than you borrowed from your hard money lender to do the deal in the first place.

I realize you've already developed a plan but wouldn't the property generate more income with two units?

Apologize for the confusion; share that you were caught off guard by the inspector and the findings; explain that you did not realize that the Tenancy Form was itself a commitment within Housing.