Find something that's a foreclosure or other bank-owned, or someone really needing to unload, that just needs cosmetics rather than structural, in a reasonably healthy community.

The city is excited about working with us, we have spoke to the building inspector, a structural engineer has already inspected and cleared the building.

Its hard to weigh the pros and cons of a team without knowing too much about the structure itself. 

That one wall looks braced; I wouldn't put much stock into any of the structure being of sound construction.

I have some questions on how I need to structure myself to begin investing in the market.

Its easy to spend $75k on a 2000+sqft house that needs just about everything (not fire or structural).Your repair figures are insanely low. 

I would want to pick out all the things that I see like light fixtures, cabinets, tops, flooring but I expect the contractor to get all the other things like support for the structure (sockets, nails, screws, drywall, and anything else needed to put it in place).

The repairs seem extensive including bad insulation, minor roof repairs, faulty structure, floors are uneven (home is a little over 100 years old) galvanized pipes, old water heaters, among other among issues. 

@Ash Patel  Hi Ash, There are a number of possibilities when structuring a 1031 Exchange transaction. 

Plan is to have a structural engineer come out and look at the place prior to closing.Thanks,Victor