@Jonathan JohnsonAsk for a copy of the trailing 12 numbers for the building.  2015 P&L and Tax Return if they will give.Find out about property taxes and insurance.  

Yes that equity would be great, but you would be missing out on most of the tax advantages that comes with the higher leverage.

With taxes, HOA's and insurance your bills would come to about $200/month.

When you have decided on yout for sure niche  you could get an attorney (tax accountant) or a CPA to help you with your business type.  

Ann arbor is too expensive and Ypsilanti taxes are high.

Because I'm planning on living in the property, would tax benefits am I subject to?

First, when are property taxes due?  

Check tax records and compare mailing addresses to property address to verify they are owners vs. renters....

My half of the profit is tax-free because I have accumulated $260,000 worth of Deductions since the 2008 Crash.

You need to ask to see the documentation that enables your seller to pass marketable title.An an informal (summary) probate, you would entitle the seller as Mary Smith, personal representative of the estate of William Smith, deceased.If a formal probate, they will vest as "Mary Smith, Administrator of the estate of William Smith, deceased."