They are contracting a local for $30-$50.

@Janett McWilliams, I can say as a general rule that you will have better terms and more money to be accessed if you individually refi each property individually unless you have > 10 properties, usually >20. 

Yes, just make sure prior to close on the property you speak with them and see what their rules/policies are on the matter and be prepared when that time comes for the property.

And the seller would have to report any capital gain on their taxes for that year But since he has renovated the place from top to bottom he would fall into the "significant renovation" rule and if a traditional buyer bought the house for 200,000 then the buyer would also have to pay 30,000 in HST?

That would be another 5% ($475).Adding that in it looks like some good numbers.If you jack expenses up to 50% of income (rule of thumb) it still looks like it is still throwing off $800 a month.  

The closing company I typically use doesn't accept bank checks for cash closings nor above 50 or 100K.

Not all towns require a C.O. for every property depending on the town rules and the age of the building.In the case of this property, the seller is trying to make the buyer responsible for the CO and the certifications. 

IRS rules require use non-recourse financing for any investments held in an IRA.  

I was going through this old thread and a wholesaler noted that she sells at her contract price with no markup, but a 50% profit share. https://www.biggerpockets.com/forums/93/topics/174983-virtual-wholesaling?

If you are over 50-60% start systematically reducing the introduction of moisture and increase ventialtion.Make sure the basement is dry, if not check your gutters, downspout extensions and get a dehumidifier.