We own this outright, no mortgage, just paying HOA and expenses which are pretty minimal.  

I have about half but if I could do it with minimal money and still come out ahead that would be ideal.

Hey Michael, it sounds like it would make sense just by doing the back of the napkin 70% rule as long as the construction costs stays tight, even if it runs over you'll have wiggle room and worst case you may only have minimal into the deal.. without seeing the property seems like a nice deal.

Fortunately we were able to feed the majority of the circuits through existing walls/ceilings with minimal drywall removal.Just upgrading the service & a panel here runs $2400+ so re-wiring all circuits would probably run an extra $2-$3k.

PITI ~$515 w/ a $950 rent and minimal needed for CAPEX.

Minimal documentation, high net worth, high credit score.

How does that work, and is there anything I can do to protect myself or minimize/eliminate this risk?

I have enough for the down payment but want to minimize my out of pocket expenses.  

That said, there are certainly tactics you can (and should) be implementing at different parts of the cycle -- and at the inflection points -- to maximize profits on transactional deals and minimize risk.For more details, BP has a book on the topic (I'm the author):https://www.biggerpockets.com/...And I also did a couple BP podcasts on the topic last year:https://www.biggerpockets.com/...https://www.biggerpockets.com/...

THANK GOD the damage was minimal but one hell of a way to destroy your lease.