It also shows a few houses for rent in the neighborhood, meaning that getting a tenant might be hard if it's not marketed correctly (I think the school angle is an ok way to go).RED FLAG: Last sale was in JUNE for 56k.  

If the listing agent is selling a property with tenants and warning that you will need to EVICT the tenants that is such a huge red flag.My first questions would include:Why is the owner selling it (if its not a foreclosure/REO)? 

The red tape and hoops that you have to deal with can be a nightmare and cause months of delay before you even touch a tree much less break ground.Also I agree with Devon, some architects do not live in reality (as a building contractor I live with it all to much) so it is important that you have a product to produce that you can not only sell in your market, but you can tweak and add value engineering to as you learn to construct your product, this can be equated to time or material, and is in my opinion the number one reason you would consider recreating a building multiple times and only change the façade. 

If the renters tell you long-winded stories/explanations especially when you didn't even really ask, take note as it's probably a red flag that they're full of excuses.If the tenants are currently month-to-month, you could request the landlord have everyone vacated before you close.If you keep the tenants, be sure to be firm but fair.

I'm paying attention to all local BIG players in Atlanta. 

We all started off somewhere.  3 little green houses, 1 red hotel. 

I would consider it a pretty big red flag that suggests you might be paying too much when an appraisal comes back significantly lower than your offer. 

Have you checked out Red Bell Real Estate? 

If you are handy it would be a good idea to find a licensed plumber and explain your experience and see if they will allow you to do the bulk of the labor.also with pex in visible areas use rigid pex also color code in red/blue (very impressive to people looking at it), for your heat make sure you use one with an oxygen barrier for heating systems.  

@Russell BrazilBased on recent experience with investor buyers I see the market for rentals tightening in some of the nice bread-and-butter neighborhoods (as opposed to the red-hot ones near the water).