I hope your previous applicants didn't use software like photoshop to make their credit report look more favorable :)

Don't leave things to chance, don't make decisions based on chance or gut feelings (though if your gut is warning you, investigate further), and if the numbers don't pencil out in your favor at the beginning of a project, things will only get worse down the road.

Obvious bank error in your favor!

do folks favor cap rate of lease length, or vice versa?)

@James K, sounds like you're in favor of me not closing until it gets done?

I'm not sure why you would consider abandoning a private loan for this scenario unless their terms weren't favorable? 

Yes, it's true that 80-90% of their deals ended up being profitable but those liens and judgements could become problematic for future transactions and you're definitely not doing yourself any favors in making enemies with the municipality for not taking care of your properties.The best advice I can give you is this, especially as an individual doing this where every deal counts.  

I don't know if that is in my favor or not. 

It provides a lot of good information on how to get in good with those "vip" people I mentioned up above, and how to turn those zoning / coding violations into your favor. 

The saving grace for you is that a hard money lender is going to analyze the deal themselves, so if they won't loan to you, they are doing you a favor.