I'm a broker and investor in NYC, actually closed on an investment property my clients that are RNs bought :) If you're looking to start out, what helped me the most was reading about REI as well as attending local meetups to get a 'lay of the land' on what other investors and brokers are working on. 

He asked for the good faith deposit and I layed down the 5k without hesitation.

This does not appear to be an issue for the tenants or the property maintenance (ie, no calls about tiles, soft floors, rot, etc).  

They did lay riprap but asked if it was okay.

I'll lay out a little about myself, my background and my current position so ya'll can get an understanding of who I am, my goals and what methods would best be utilized to achieve them.

If you were going to ballpark and complete gut and builder quality finishings( luxury laminate, non tile bath etc), what would it be for a 1600 sq ft 2 story colonial? 

I understand that notes is a business best learned by doing, but I am trying to lay a good foundation of knowledge as a starting point.To date, I have read these books:"Invest like a Bank" by Beaux Blast" Little Green Book of Note Investing" by Fred Moskowitz"Real Estate Note Investing" by Dave Van Horn"Note Investing Made Easier" by Martin Saenz"Invest in Debt" by Jimmy Napier"Profiting from Non-performing Mortgage Notes" by Amed HazelI welcome any thoughts or recommendations that the group may have.   

Take your time, do your homework, make the appropriate connections, and lay the groundwork for a strong investing career.

This book will lay the groundwork and the basics to get you started. 

There is a reason I don’t invest in CA at all…Regarding AB 968, as you implied with the beginning of your comment, this should provide protection to end buyers, or at least provide them easy resources and contacts to reduce potential ownership headaches (example: “hey I accidentally broke a bathroom tile, can you just tell me where it was ordered from so I can go get another one?”).