Or if your primary has any equity go open a HELCO to cover the money needed and once the refi is done paying it back?

This is covered extensively on Bigger Pockets.

Hopefully, the home debt will be covered by your rent collected and you will not have to pay any of that out of your pocket. 

I asked him about that and he said that whoever comes in to texture and paint will cover most of that up with the texture. 

I think i covered everything.

If I decide to go with model of covering all utilities then rent would be $550-600 a month per student.  

Or I can pay you $130k on a lease option where I guarantee payments to you for 3-5 years, handle all the day-to-day maintenance, and cover all of the closing costs when I cash you out.

Often the Existing structure is covered on the Actual Cash Value (replacement cost - depreciation) and the renovation is covered based on the value of the work being done.  

Most often when agents get in trouble with creative financing it's a matter of not disclosing interests.When you do come up with a plan, you may want to run it past your broker to make sure you cover all your bases.

Right now the complex is 24 doors and seems to be suffering from mismanagement and neglect as the owners are out of state.