Now you run the risk of the bank calling the loan due if they find out about this transaction happening and if you quit claim deed a property off market then you might have problems with the sale of the property and more signatures may be required by the old owner in order to sell and you will assume any liens/encumbrances the old owner has you might miss since you didn't have a title company transfer title.

If so, What are the risk reductions for reaching out to an attorney? 

How is the risk generally distributed? 

If there is too much risk then I will back out of the deal. 

As well, keep in mind that the other investor's risk tolerance will be different from yours.  

I haven't exactly forged an empire that will create generational wealth. ... but I evaluated a deal, made a pro forma, and decided this was a minor risk I could afford to take, but it feels so much bigger than that. 

@Katie Haney  careful that price range and tenant range is for experts in the local market generally.. out of state folks stand a very good chance of having some pretty rough financial times .. take your 50k and buy something for 150k you will thank your self over time. there is a reason a duplex would sell that low in todays market.. the market is pricing for risk.. when you live out of market your risk already goes up... there are plenty of better buys out there .. than a duplex at 50k..

@Trevor Carli have you tried reaching out to anyone involved in the Brew City meet up?

If allowed by your lender (if one is involved), figure out the estimate of damages and have the title company place it in an escrow account pending the damage to be fully repaired (would suggest holding a bit more than the actual estimate to cover the unforseen).  

She was under contract with an investor to sell her current preforeclosure (she missed a few payments) however this transaction did not involve you?