Lots of questions here so if you can provide other details that will help me guide you properly.

I'll have to take photos tomorrow to properly illustrate.The neighbor also said that the mainline water pipe had several leaks in the past and has pictures to prove it.

You can see if the seller has been patching and fixing with cheap and improper repairs to suck out all the cash flow  instead of properly maintaining the asset during ownership.

I thought I had selected the proper forum on my phone while writing this.

Unfortunately, marketing is not really the top skill to be great at locating good properties, buying them properly, renovating them to at or above retail standards eliminating deferred maintenance and then acquiring quality, long-term residents and managing them properly.

Floor guy says he would put a transition piece and it will still look good, but I don't know if this is considered done properly. 

To prepare for it, just prepare a 1-pager summarizing the investment with what you laid out above plus some pictures an more background info on the tenant.For you personally or the entity that would be borrowing you or your accountant should prepare a balance sheet and income statement.

I would even be interested in a rent to own situation as long as the remaining balance can be paid off in a year or so.

The problem that I am needing help with is...if I have a 3.25% interest currently and the bank is offering me a 4.5% cash out refi that will take care all of my cc balances and give me enough to purchase new property, is this a smart move to go from a 3.25 to 4.5%? 

This is a messy situation and I don't know the answer.When Calling 911 Makes You a ‘Nuisance’ and Gets You Evictedhttps://www.nytimes.com/2017/11/09/opinion/nuisance-ordinances-eviction-violence.htmlMy lease states the landlord will change the locks for a domestic violence victim (upon proper documentation).