And I completely agree in regards to the deal being a little on the thin side, however, if I'm only coming out of pocket approx $24k, (including the 3 points) and can make $10-20K, (hopefully in 6 months), I'm ok with that.  

If you negotiate a good enough deal that pays you then complete the transaction with the investor to buy the house you have under contract.

If anyone could steer me in the right direction on where to find contracts I would love to connect and network with as many people on this site to complete deals with.

The leaving party needs to complete the 30 day notice. 

If you think you will go FHA, Conventional, 203k, etc. and then Quit Claim the property, to a LLC, or a Land Trust you run the risk of the lender discovering a Title Transfer occurred and activating the "Acceleration Clause" or "Due on Sale Clause" that requires the loan to be paid in full, within 'x' number of days.

Is completely removing the existing stucco then re-stuccoing a cheaper option?

On a home that had been properly rehabbed, this should be a sound financial investment.Considering the fact that you are investing in real estate with unknowns - tenants, unforseen maintenance issues, insurance claims, etc - to me - a 4-5% return doesn't seem like an adequate return on my investment (risk vs reward).

The non-refundable reservation deposit becomes the security deposit once the move in is completed.  

Do you quick claim deed to the house to verify your investment is secure by the property?

If you negotiate a good enough deal that pays you then complete the transaction with the investor to buy the house you have under contract.