@Ray Rhoads As your loan agent mentioned you're going to be hard pressed to find any lender that will take this loan.

@Jonathan SmithYou haven't mentioned the complete relationship you have with the "investor".Is the investor lending you money in exchange for interest?

One clarification though, you mention the need for them to sign your lease.

I don't split up repairs and turnover replacements personally, but I'd suggest estimating these based on the age/condition of the units. 

I only have a page that I once used for a class, so even though I have access, I don't know if it is actually bad that people go and see no information about me there...Some people mentioned realtor.com and apartmentratings.com, but it was a while ago.If anyone is in the Sacramento area, that would be even better.Thank you!

As I had just run across them and hadn't seen mention of either one in this forum I am wondering if they are worth it?

I haven't driven by any of the properties, but based on their age and location (C/D neighborhoods), I'm expecting there's some deferred maintenance and other needed repairs.

You probably want a general umbrella for yourself as mentioned above, and then I would get a general liability policy for the property.  

I should mention there is some room to increase rents to the absolute max it can get, which might backfire.

@Charles Burton @Alex Deacon you netioned that you are not interested in house hacking but then you are strongly considering it when Alex mentions it.