If you could buy it for a steep discount and then get all units legal there should be a great profit there but know the risk, and the path to completion before entering into a deal like this one. 

Should I go ahead and buy the duplex (assuming the seller agrees to a price reduction) or this is way too risky to pursue.

The spread is much less than I'm used to working with but there is still room for around $20k-$30k profit after expenses and rehab. 

. $100 monthly profit per door doesn't allow much room for things to go wrong, and they do.

One week ago I made the decision to leave my W2 job and pursue a position as an independent contractor, full-time investment mortgage broker.

SP = PP + actual cost to date + exit potential profit from flip + closing costs.

I have been building relationships with friends and colleagues by just letting them know of the ambitions with real estate.I am pursuing that education with some vigor, thanks.

Can't you roll your IRA over to a Self-Directed IRA, take money out of there in the amount of your renovation budget, and then be allowed to deposit 100% of the profit of that property sale into that IRA, to be used for your next investment, tax-free/tax-deferred? 

That being said I was making $900 in profit for the first 3 months until I had to move in.

I am more or less tapped out of liquid cash but have a great relationship with my lender and am good at finding and managing profitable companies.