Is there any way to properly make that transfer without having to get your original loan through you personally and then transfer it to a SD-IRA or to pay a lower down payment with a non-recourse loan? 

In a perfect world: (in no particular order): Square/rectangular shape, 1-story, open floor plan, lower pitched roof fully trussed, slab on grade monolithic foundation, 24 o.c framing everywhere, T1-11 plyw. siding, minimal windows, minimal doors, minimal trim, minimum code electrical/HVAC/plumbing, carpet everywhere, avoid tile, laminate countertops, Home Depot cabinets, basic fixtures and appliances, no fencing, no trees or old stumps, minimize landscaping, minimize driveways and walkways, forget pavers, cleared flat lot, no fill, utility hookups available in front of house and best case they are aleady tapped, inspectors are easy to work with and pass everything the 1st time, subs show up when they need to and actually care.

Considering depreciation, and expenses, it may be a lower percentage than W2 income, but still a significant portion of the profit will go to state and federal taxes. 

If so you can qualify for lower down payments and other incentives!

He lowered the price a few times till someone else put it under contract. 

The Market Value is clearly lower than the Replacement Value, but considering the home's age it has me thinking.I'd love some advice, op that might be helpful to guide me towards a decision. 

If I looked into the BRRRR method I could treat the money as a private lender, just with slightly lower interest rates to still make it a good personal deal but still get a small profit with someone I trust (myself).

Arlington is solid, but the rental rates have tended to be a little lower, so you have to find a deal. 

I don't want a property that is going to be a constant worry or attract a lower quality tenant.

The lower the number, the longer it takes, and the slower it takes as the more it costs to move forward.