I'm working on becoming a realtor but I'm not licensed yet so that increases my cost quite a bit.I have done a flip before but that was a sure money maker where I think this one isn't such a sure bet.

I was coming off a bad experience with a Multi level marketing company and wanted a way to earn a second income that didn’t involve that type of thing.

I have listened to 43 episodes of Bigger Pockets and I would like to become more involved.  

Wife is frightful about getting burned by contractors, agents and just not knowing what all is involved. 

It'll help you get your kids involved now and save you money. 

The seller will capture some of the potential and the buyer will discount the future potential against the risk and cost of achieving it and that means you will meet somewhere in the middle.The best way to figure it out is to build a pro forma showing the schedule and costs involved and figure out how much you are willing to pay to achieve your investment goals.

stated income loan would be your best bet but you would Max out at  75% LTV and rates would be higher than a conventional loan

Technical answer: because a sink involves plumbing, including a trap which can leak sewer gassesReal answer: Because the city are greedy, in addition to incompetant.    

I would really appreciate it if you can help me understand this.Also, I was not aware that I need a QI involved in the contract of sale.

Coming from a farming background I think your best bet is option two.