Can be great with wonderful potential for value add or it can be the worst of all worlds being too small for lots of pro management and still have heavy capex.

I will for sure get expert advise from an attorney , though it may seem like I am betraying my handy man friend, it is however, much better to know what I would have to deal with if the worst happens and reevaluate the repercussions.

If you are flipping, keep it simple and look for a cosmetic flip that you will at worst break even.

Worst case, if you do decide to stick with the candidate, other alternatives would be to require a cosigner or increase security deposit. 

Managing out of state would be less than ideal but I figure I could just resell in worst case scenario and recoup or take small loss on down payment. 

Despite the advantages, there are at least two big dangers to this type of investing, when compared to real estate investing.The first danger is the worst case scenario versus the worst case scenario in real estate investing.

When buying distressed property expect the worst, plan for the best, and don't over pay. 

Worst case i would be commuting to work from 2 hours away, or inconveniencing my friends to live with them in their apartment for a couple of months to get my living arrangements straightened out.Please let me know if you'd like me to explain something better!

I addressed this in a letter to the tenant concerning this unauthorized repair, not made by a licensed contractor, not up to code and worst off not a repair requests because it clears states in my lease like most, all repair requests need to be sent in writing..Im worried about the liability and what to do with this "self made" wheel chair ramp that was put up unauthorized and being held liable from the Town/Zoning, My Insurance company, and also the safety of my tenants..  

If it is currently working, I would look at a home warranty through either the local power company (PREFFERED by a long shot) or worst case a home warranty company.