PS, I have no idea about any of the numbers since we don't have info as to what the actual repairs are, what the ARV is, and what your monthly holding costs consist of.

Hypothetically speaking, I get a property this way, and it's worth 50k, do I have instant equity that I could use for repairs? 

Contractors will help you understand the cost of any needed repairs. 

Kevin, so you can utilize rental income from the other units to assist in qualifying but it is calculated as 75% of the market rent as determined by the appraiser. 

We are currently cash flowing roughly $400 including budgeting for repairs/capex.  

If you need a stronger guarantee, then perhaps consider partnering with someone who can assist in that or experience. 

It seems that a lease purchase with stipulations to make the buyer responsible for repairs would be more advantageous than renting because the property owner wouldn’t be responsible for any repairs, they get a bigger up front payment from the sale of the option (which will help with vacancies) and if the buyer exercises the option at the end that’s a win too.

Look up lenders here on BP, most are national and may be able to assist you.

I am thinking once they are in or hoping once they are in and all repairs are done then the headache will be over. 

The experience taught me the value of building a team and reserving cash for repairs, and the whole experience eased my fears.