Typically anything that needs to be done to the property will be noted on the appraisal, so it's odd if nothing was mentioned until the last minute....it will show that the value is "subject to _______________________" and this is where they will add things that need to be done before closing.

Generally most lenders need a 660 or maybe a 680 FICO score and enough reserves to cover the downpayment, closing and some reserves

I closed on my S8 rental on the 31 and they delayed giving me the HUD agent for the tenant, so the rent was sent to the previous owner. luckily, I had that in the contract just in case that happened.

The process can be started about a month prior planning for a 30 day close. 

a good deal for a SFH flip would be the buyer being ALL IN at absolute max 80% of the ARV (including the PP, renovations, assignment fee, closing costs), but a lot of investors would say it has to be max 75%, 70%, maybe even 65%. that said, shoot for 65%, and know your renovation costs. i've used $65/sqft for a gut reno, and until proven otherwise i'm assuming it's a gut job, BUT that PPSF is not always accurate, sometimes there are unique issues with the property that would drive that number way up. it gives you a place to start, though. 

I would stay close to turn-key for your first oos investment.

A few additional things to consider between the two loan types: prepayment penalties, probability of closing, points/ fees.... and vesting (LLC or personal). 

Even if you live in a Home or one of the Units you can still set the address or other units up on your "Schedule E" and claim the standard deductions.To be totally compliant I would tell you to refinance and transition the property into an Investment property and close it in an LLC.

Have you looked in markets close to you?

I have business checking accounts for each entity, and business Amex and Chase Ink cards, which keep this all a closed system.