One thought on the remodels if you could get one unit vacant, remodel that one, and then move an existing tenant over to the remodeled unit, repeat the process until you are done.I have done that before and it's worked out well for everyone, the tenant gets a fresh place to live and the disruption is minimal.

Also, are there any creative ideas around how to minimize risk and/or generate some negotiating leverage here? 

While this may lead to a lower rent and higher near term it will minimize your losses near term.Additionally, if you do have to rent for a lower rate than you are expecting you could always do a shorter term lease agreement.Best of luck,John

I would go with a hard money loan if the conventional path is: i) not fast enough to fund; ii) you're tapped out on a global LTV basis; iii) you need up to 100% of rehab costs to be covered, which I know isn't your case; and/or iv) you want a loan to be underwritten with the asset in mind and minimal emphasis placed on borrower FICO.

They will need to guide you through the exercise so you minimize whatever tax exposure there may be. 

If I remember my contract law classes correctly, the seller is obligated to try to minimize his damages.Look for any other language about "buyer default" and see what it says. 

I suggest going slow and steady to start and minimize room for error.

you should pull a permit for any kind of structural work, including but not limited to foundations, foundation piers, roof framing, floor joist repair/replacement.with you removing a load bearing wall that would be a definite yes. like Katie Neason said its the right thing to do. and the cost is minimal  compared to if you get caught and are fined.

Also if you buy something that only needs cosmetic renovations keeping costs to a minimal. 

@Mathew Fuentes gas should be minimal if you manage leasing well. $300/year is plenty so long as a unit doesn’t sit vacant in the winter for too long.