I have installed a few...mainly to avoid CO issue with old HW tanks, to replace high cost units & in family owned homes where hot water demand is high.

Avoid them if possible. 

I do not want to get rushed into something just to make my 1031 work to avoid taxes.

Use BP, network with professionals, and avoid speculation.Welcome!

BLUF- if you can avoid rezoning do it.

However, he recently called his bank about the situation and they told him that they have an assumable loan for him to use if he is ready...I am trying to avoid 20% down as I need to repair the property with my cash reserves. 

Easy way to avoid this for the property owner is to have taxes paid up-to-date and checkup on vacant properties.

Once I receive confirmation that they've run the application and see that their credit/criminal/eviction is good, I send them an e-mailed in-house application that lists all the stuff that SmartMove doesn't care about, and I then check that out.In other words, if you do it electronically, there's no way for them to avoid paying the fee.

Seeing this, I might avoided that and simply changed my keyword to "Denver".

@Nazar Trilisky  small seconds behind HM loans are to be avoided or at least anyone who is a professional lender would normally pass on that opportunity