I had seen rates as low as 15%.Just be warned that as any traditional rental property can quickly become a full time job, AirBnb management can become so much more time consuming...

I really should experience self management before I decide to opt out of it. 

I would probably opt for your wifes path until one of them moves out.

Assuming they are otherwise a decent tenant and not tearing up the place and are staying long-term, and considering re-renting costs, vacancies, unknown nature of the next section 8 tenant, etc, do many of you hands-on Section 8 landlords with tenants having rent 95% paid just opt to do nothing and let it ride?

I realized this one was pretty old and opted to just buy a new one as I am getting good rent from a good tenant that rarely contacts me about any problems.Dishwashers are cheap, I usually opt to just replace them.

I would do all of this before you buy anything.Also, your initial short term plan, as described, will probably the most expensive, most time consuming, and longest to complete potential plan you can choose....and, don't do your own rehab. 

We know this is a lofty goal, but by taking baby steps and calculated risks, we believe we can at least build a business from this, allowing us to leave our life-consuming day jobs. 

Showing is time consuming so we save that for much later.We ask how may animals, how many people, employer, income, where do you live now etc.

It wound up being a lot more complicated, expensive and time-consuming than I expected but it's finally done.

If it is demonstrable you contracted in bad faith, the contract itself would be void.If the contract clearly indicates you really have no intention of purchasing the property, you could be seen as acting as an unlicensed agent ... particularly if you establish a pattern of such transactions.Traditionally, in business, a wholesaler acquires a good, then resells it to the retailer - who in-turn sells to the consumer.