Remember he pays all costs/legal fees for drawing up th emortggae.You need a significant non refundable DP to cover your costs if/when he defaults.

My interest has been piqued in real estate investing, and particularly rental property investing. 

If you are confident you can close, you could put up a non refundable deposit to ease their losses.Talk to your lender, but it should be okay to make an offer with all units occupied, if one is on a month to month basis you would move into.  

@Randall CornelisonInterest only if you can.I.e non amortizing at all.

Just takes a few tools and an hour or two.If you are worried about using another wax ring, look into the non wax version (Sani Seal is one).

If this goes well I'd consider buying more and using a PM but I'm not sure this particular property would be a good deal if paying for a PM.Thanks again! 

We have two properties in our IRA that we want to sell to an outside (non IRA) partner.  

Very few renters will care about it being finished or insulated, particularly in a warm climate like California.

If there is ever a question regarding a payment made or regarding the cost of something, we just look in that particular account.

Again, this was listed as a 4bdrm with no word of it being non-conforming.