At the same time, your situation is screaming for you to do a house hack here locally.

I went in and started screaming "where are you mother@#$#. 

@Dave Jimenez  I bought my first house in 1975.. so probably not germane to today.. and it was very straight forward.. we put 10% down  its was a 80k house in Milpitas CA.. got a 10% second from HML and a first for 80% it was new construction. there were no auctions then.. like you see today there were foreclosures though I bought my first one in 1976.If your using a FHA loan and first time homebuyer or there abouts its tough to buy auction proeprties. because they make it tough.. that's the point.You can easily buy one off of MLS and go through the normal hoops.. but I am sure your thinking you want to buy this because its such a screaming deal . and of course everyone wants that.. those deals primarly go to cash buyers.. unfortuanatly .. 5 to 6 years ago was different now there is just so much cash chasing deals its not funny.. so just trying to be a realist that's all.Look at some google on line about Vegas.. poor families trying to buy who just had to have financing got shut out.. because of cash investors.. and let me tell you the sellers banks and other lenders in possession could give a hoot.. they just want the cash.

Change the rents to $800, and this is not such a screaming deal (but still doable).

There was a lot of whiskey involved, some boxing gloves, and I ended up with a bloody nose.

I can only imagine it being a D- or else you found a screaming deal.

I am sure their are lenders that do 100% if it is a screaming deal, but it is going to be hard to find a screaming deal when you are new.

Put yourself in the Sellers shoes… if a buyer is wanting a $120k discount and screaming at the top of their lungs that that’s what it’s worth… wouldn’t you as a Seller just then take the chance and let you go on your merry way and immediately drop the price by $5k, $10k heck even $30k ?

There is negativity and people screaming “the sky is falling” everywhere, learn how to tune out the negativity and focus on what you want!

These inspection issues don’t scream that to me.