IE the loan proceeds are in escrow and are collected funds.this is a very very common scheme all over the US.... sucker rates to sucker people into send smaller money and then wa la they are long gone.. and your ticked off that you fell for it.Use a local HML and see what rates they charge ..

Our short term goal is to do a live in flip, move, rent, and repeat. 

I realize, they say it is important to have a goal, but I personally think that your goal shall be to get your first deal done.

My goal is to do my first flip within the next year, and I plan to continue flipping and buying multifamilies going forward from there.  

I chose inspection because it's just what made sense to me and my goals.

I do realize that the xbox is my biggest distraction and without it I can accomplish more of my goals.

My kids are waiting for a month to get an appraisal for their loan, is this common for the area ?  

Here is the problem - up to this point, the owners have been taking responsibility of repairs, maintenance, etc of the interior of their units and the HOA was responsible for the common areas.  

(as for California and New york it seems)Our goal is to invest on rental properties (we can't flip from France) with very low expenses in a safe area.

Your stated real estate goals are very similar to mine!