I can look back and question my decision to go with him based on a number of warning signs, but we know some of the same people and our trusted friend referred him to us.

I never understand why people in business think anonymity is good. 

Attend meetups and meet as many people in RE as you can.

Welcome to BP and thanks for sharing your plans, there are a lot of people in a similar position who will feel inspired.

Sometimes, the most honest answers come from people who have no stake in whether you buy the property or not.Good luck!

You can either cancel and they may reduce the fee to try to save the deal or take the hit and leave a foul review so people know of this bad practice 

The problem with rent by the room is you end up becoming a counselor or a people manager.

Do people put exercise equipment like treadmill or stationary bike in their mid term rentals?

People need homes.

I've heard too many horror stories about people that pay cash for a property because they think they are getting a deal.A moron of an owner could see they could get a much higher price if they just put in the exit signs (etc) and then sold to someone with a bank loan.