Much of the city is very block by block and its a good idea to take a look at the home values in different areas as well as the proportion of owning vs. renting in different sections of town. 

(No matter how good you seal it, it will get water damaged.)

What sort of document do i use or create stating they are temporary guests and that all responsibility remains with my tenant for payment and any damages? 

My cost of living is significantly lower than if I owned a house down the block; I'm even paying a lot less out-of-pocket than my tenants!

Once that’s done I want to hire a licensed contractor to apply for a block wall permit on wherever the property line ends up being located.I am hoping that I can do this before anything gets constructed.

Damage to the property is just the front door, jam and trim around door.

You and your buddies would be jointly and severably liable for damages and rent, which sometimes means that if a buddy of your does something that results in lease violation and eviction, your name will also be on that eviction.

I have worked with structural engineers on fire guts, handled mold remediation, and repaired water damaged properties.

So if you want to sell me a property to flip, I expect to pay you between 210 and 245 minus renovation costs.You don't have to find the nastiest place on the block just one that is going to make your buyer some money.

I’m projecting about $5,000 in profit my first full year, but that is with blocking off a day in between each stay because of COVID.