The property that we are looking at is onsite managed and fees deducted from rent, owner paid the balance.  

There is a limited and standard.

If there is a claim does the owner submit it and I pay the deductible?

In Atlanta, you're required to attend a briefing/meeting, then complete the application and provide requested info about the property, then they schedule the inspection and approve or reject the application per the standards.

Should I treat these properties like I would a standard flip or should I use more durable, yet less attractive finishes for the property since there's no guarantee the tenant will buy?

Only thing I would say is expect to pay 20% down since the property you are looking to purchase will not be owner occupied and 20% is typically the standard for investors. 

Rather than upset a good tenant and possibly break the law, why not deduct the $3600-$4800 in lost rent from the purchase price?

It specifically states not to report ST rentals on E. https://www.irs.gov/pub/irs-pdf/p527.pdfAdditionally- Schedule C reporting allows for both far more aggressive depreciation options especially with the new bonus rules, as well as the new 20% pass through deduction. 

Seeking guidance on how best to exit a partnership mid-flip and the tax implications I should prepare for.Detail and timelineI bought a duplex in January for cash - standard closing with the buyerIn May I let a partner buy into the deal with cash and had his name added to the deedthere was no recorded transfer of $$ at this closingMy partner is now offering additional cash to buy me out of the partnership and take over 100% of the dealHoping to better understand at a high level what the typical path forward would look like in this scenario ?

If he doesn't keep good records, then you have a bit of a problem, and will have to calculate it yourself.Finally, with all the information you've collected, you determine if it is a good deal or not.Based on what you listed above here's an example ballpark monthly budget:Principle & interest: ~$1,000 ($195k loan @ 5%)Taxes & insurance: $300-500/mo (depending on your locality)Utilities: $200/mo for water (most 4-units has the owner paying water)Vacancy: $140 (based on 95% occupancy at $2800/mo)Maintenance/Capital expences: $280 (standard 10%)Management: $280 (10%)Total: ~$2,300-2,500, leaving you with a profit of around $100/door, with only $10k invested.