Also, the house is located in-between a brand-new, very nice apartment complex on one side, a just completed expansion of a nice assisted living facility on the other side and quality brick townhouses behind it.

Not because the homes are lower quality, they are just less expensive. 

The carrier also has the requirement to replace "with like kind or quality."  

We do not follow the rules on this website (1%, 2% or 50%) but buy higher quality of houses and keep tight control of our costs.

I will be actually heading over to Lincolnton today to pick up my lawn mower from a shop over that way so I would be happy to drive by the house and see if it doesn't have any other undesirable qualities that we can not see.

Will the finishes be of the same quality as the home next door?

It's crazy to me how just a couple streets can make a huge difference in the quality of the neighborhood.

What quality of tenants will it attract?

The most I'd invest initially is quality time in reading and listening, and use the Vistaprint deal  that's, like, $10 to make 250 cards to just make a business card with your name, title (wholeseller) and contact info.    

This is my first post on BiggerPockets, and I am thoroughly impressed with the quality and quantity of your responses,  guys and gals!