And, that might prevent you from moving out of your primary residence at a future point.  

I have no one to blame but myself for not participating in financial decision making, carrying credit card balances, being ignorant of our retirement savings and mortgage details, having no personal plan for my own financial future, and never creating a budget.

I know you have moved beyond this but on the chance that a similar situation comes up in the future I offer a few ideas.If you are really serious about getting a property then you need to leave time to make an informed decision which it sounds like you have realized.

I’ve heard rumours they’re trying to implement that in the future, which would be unbelievable but not shocking.

I am looking just as much for a contractor I can do business with in the future just as much as I am looking for someone for this specific project.It would be really great if we had a list out there somewhere for everyone on this forum with attorney, CPA, realtor, contractor etc. recommendations for everyone here to refer to.

@JEFF D. wish I could be more helpful to you, I have bought and sold 2500+ units and never had to do a Phase 2.As you finish out your due diligence period, and assuming you will sell this asset at a future date, a Phase 2 could limit the number of buyers in the future so give this 12 unit deal a real close look to ensure it is a solid deal.Good luck!!

So any way you can improve operations (raising rents, reducing vacancies and expenses) will have a compounding effect on how your business is valued (code for forcing equity), allowing you to potentially refinance and get cash out of the property to use toward future acquisitions.Tenant experience. 

I am in my 3rd year of college and I am starting to narrow down on careers I want to pursue in my future.

Thank you to everyone who chimed in, this has been SUPER helpful.I've been able to negotiate returning half of the deposit with the tenant so I am going to bite the bullet and pay that out of my own pocket.Going forward, I'll remember this as a lesson to make sure this is covered (I'll definitely be buying more properties in the future).Thanks again!

We are looking to get into residential for the foreseeable future and I understand each city/area is specific to itself.