You need a more detailed grass roots analysis ... take all the things that will need to be replaced in time ... flooring, HVAC, plumbing, electric, roof, etc. ...

Things I think we should look for are asbestos, lead base paint, floor settling and sinking, shingles popping up, closet space/fire place, galvanized plumbing.

For a duplex you can get a sub meter online (NSF 61 cert) for about $80 and have a plumber install it pretty quickly depending on your plumbing construction.

As the owner you will have the right to terminate a tenant of your choice unless your state regulations say otherwise.We use it here to remove tenants with rent below market.

You have some time (I think 90 days) after you buy the place to move in to still be compliant with FHA regulations. 

I have been sticking to looking at strictly SFH REOs because that is what I feel most comfortable with (aka have done the most research for), however I continue to get tempted into a possible townhome deal, or at least look closer into them.Is the major disadvantage dealing with association regulations?

I have solid connections in electrical and plumbing, but looking for someone who has basic carpentry skills (install trim, take down walls and re-frame walls, etc), installs floors (hardwood and vinyl), minor painting, basic tile work, things like that.

Carpentry, HVAC, plumbing, Electric?

This is evident from the number of posts from landlords that have never bothered to read, let alone learn, their state landlord tenant regulations.

Did you study your state landlord tenant regulations before you decided to go into business.