By the way, the tenant should be charged for this as part of "cleaning and repairs." 

If you have a relationship with the seller, if the property is fairly priced, if the seller is motivated, and you identify it as a deal, then you can send an LOI after the first call.

If you can't find it call the housing authority and ask them what the payment standards are for the bedroom count you are looking for.

The title company will make sure the title is clean.

I second the @Dave Foster recommendation.

Whenever I speak to a group of students interested in real estate, I always stress the importance of networking and simply asking people to coffee.

They are all in decent areas.I like the program.They pay all or a large portion of the rent.The tenants take care of my houses and stay a long time.

I'm interested in learning a bit more about typical vacancy percentages, size of the local population being serviced, reasonable percentage of effective gross income for expenses, etc. as well Peter.Hopefully some experienced member(s) will sound off!

As pointed out, the loan fees and such are usually rolled into the loan meaning you are paying interest on more than just the principal of your home at that point. 

Even if that is not your intention, the IRS could decide that is what it was which would mean that the seller would have lost his 1031 ability since he "sold" you the house when he accepted the first payment.