The settlement charges consist of 2 main categories: closing costs and prepaid/escrow items. 

You have treated for bugs, as others have said, they probably brought the bugs with them.Furthermore, I would hold them responsible until I had a new tenant and charge them rent for the vacancy time.

I took out a conventional mortgage because it was the only access to cash I knew how to get (but I’m not sure if I can keep doing that honestly, lender was pissed I sold in less than 3 months), all in (repairs, closing costs, holding costs, new roof, etc) = $78k.

The criminal check really wasn't vital but I wanted to make certain he didn't have any fraud charges or anything like that (I was simply being cautious). 

Areas near downtown are not just good for tourism, but SA hosts multiple conventions every week. 

In a perfect world, my investment strategies are as follows:1) Using FHA 3.5% or conventional 5%, house-hack MFHs in Los Angeles and get as close to breakeven as possible from rental income with a maximum monthly "loss" of $500.

They audit and charge you by what they do.

What do they charge for a turnkey if you don't mind my asking?

Can refi the existing FHA to a conventional investment property at 75% LTV.You would then use vacating rental income to qualify on the new primary purchase, lease shouldn't be required to close.Can purchase with a new FHA loan with as little as 3.5% down or conventional with 5% down. 

Also, what everyone needs to keep in mind, if you want the best rates when financing your deal, you will need to get a conforming note from a conventional lender (talking residential property).