The neighbor just called and said a ton of this tenant's stuff is ruined, sitting in the water, in this back-room. 

In the long run being out on 1Mo. rent (I'm guessing 2-3K based on your location and description of the unit) is better than thousands in legal fees.  

You can end up spending thousands of dollars clearing those up.If the previous owner is still living in the property, and is not cooperative, you'll have to go through the eviction process to get him out.

You should lower your offer at least by a few thousand to fix the pipe.

Tens or hundreds of thousands.  

Might be able to save the brick walls but the foundation probably ruined that option.

My only concern of course in that are price point in between $100 and $200 thousand.

Adding to the chorus... same experience here -- spent thousands on Zillow marketing and received only junk leads.

A lot of these type events will have other professionals at the events that will help you build your team.There are two that I suggest currently on the Dallas side:http://dfwinvestors.com/http://www.meetup.com/DFW-Real-Estate-Investor-Net...They seem to have more real people doing deals than presenters selling programs for thousands of $$.Another meet up that is probably closer to you is:https://www.dallasreig.com/I think they meet every Saturday in Arlington.  

Fines are in the hundreds of thousands of dollars, per violation (so if you're caught with your pants down on 500 loans...).