I found the owner and basically he has social problems which has prevented him from renting the property.

Also, don't let the lack of a real estate license prevent you from starting your real estate investing journey.

Prevent any potential issues. 

it won't help you with this situation, but it may prevent future pain...SOW (Scope of Work) itemizing precisely what work is to be done, the finishes and/or exact material to be used, who has authority to decide on any undeclared materials or finishes (you or contractor).

That being said, as a first time Note buyer, I am positive on what "hair" I need to be on alert for.Have not yet run a title report...and as I mentioned in my original post, 3 years of delinquent taxes were paid in mid-2015 to prevent the property from going to tax sale.

I would love to start with a subject to/ or lease option to prevent getting a loan but not sure how to begin.

Additionally, it is separated from the near west side by train track viaducts and a thin industrial tract, which somewhat prevents the 'overflow' from other areas. 

Many of the best sites are 506B which prevent them from being indexed by those aggregator sites.

As somebody said, what could prevent these people from using your home to do sketchy deals, make copies of your keys or do more damage then they could cover? 

You can get a loan from any mortgage company for a property out of state unless they have local policies preventing this. 2.