Perhaps could I pay additional $ to HUD to agree to turn on the water...or is there another (legal) way to go about it?

So what I was wondering is should I sell the property and then buy another home to live and and addition to a rental property.

In addition to BP, you could find a realtor at REIA meetups in your area.

I find many of the "better" neighborhoods price points, Such as New Scotland, Upper Western Ave, etc. the numbers hardly work if you’re keeping a flat to yourself unless you’re renting out additional rooms in your unit.

Currently, I am mailing letters, and I've sent out postcards in addition to driving for dollars.

I am presuming you are not taking a secured lien on real property (you should)...I would not do this deal unless you are prepared to reduce your 100k liquid to 5k and monthly payments of 833.33 a month for who knows how long.If I'm a company 60 days away from a 12 million dollar infusion, I don't put myself in the position of needing a 100,000 band-aid.  

Welcome, In addition to what was said you can join a local real estate group in your area.

That drastically reduces the deals that support that kind of financing.You could bring on a money partner who has the steady income but not time and is willing to sign on the line that is dotted (glenn gary ref there lol)  That could work but now you have to give up a big portion of the profits, which is also fine but you have to know that going into the deal and that there enough meat on the bone.  

  - In addition to transferring the security deposits, make sure if there was any sort of pre-paid last month's rent collected that it also gets transferred

I really underestimated the cost to add it, and in the end learned that comps were 50:50 split on having it verse not.