At worst I would only use a very small portion of your home equity.

My opinion is that the "perfect" leases go in this order, from worst to best. 

TD and BMO are the worst..20k a unit you getting a 1890 built that is ready to collapse..LOL   But I have to say tenants paying with Interac E transfer is a whole lot better and convenient vs the options in the US..

Worst case I would prefer to get my money back in less than 2 years, and year 2 would be irritating.No idea if this strategy works outside of the US However.

One thing I know for certain as a group and combined with their trade associations, people who sell real estate are about the worst people to ask if a crash is coming, they always claim it's a great time to buy, regardless of the market.

Worst case is you get paid rent during the process

(water leak from outside)  So here is my question: 1) Should I submit a full price offer pending outcome of acceptable appraisal and inspection, just to get it under contract knowing I'll be negotiating a lower price later 2) submit my offer with my adjusted lower price with or course the appraisal and inspection clause 3) Go real low (like worst case scenario repairs and waive the appraisal and inspection clauses). 

I see both as potentially blinding. Which do you think hampers you most? Any hard-knock lessons learned?

Worst case scenario they reject you and you have a really good starting point for an architect 

Using flat is the worst option to use.