Things will pop up and you are going to need transport on short notice some times so get a plan that can easily implement each time you want to look at a property.

I like Wix.com you get a whole bunch of back end tools to easily make forms and the like.

Any increase in the numbers that work out of the house will still be at the permission of the employer...and the employer will still want to have the employee capable of face to face.Also, what you describe could just as easily increase the number of urban tenants for the very same reasons you're thinking the opposite. 

If values fall, your bank can easily call your note and you'll be unable to refinance without a cash infusion.

What are the easily rentable areas and I hope to flip them after holding for sometime for cash flow if needed.What are the expected return on investment on typical rent for 2 bed apartment?

Don't accept anything from them, some people can easily produce fake tax returns.

The retail space is ugly but the lay out is good and it could easily be setup with 4 offices with a nice waiting room.

You may also have a professional network that can more easily be leveraged.

Ceramic tile typically is much more costly to install, and can fairly easily be cracked or chipped.

After the auction if a bank buys the property back you can always make an offer to them and get a loan... but in these cases the bank will hold out for more money whereas in a short sale situation you can more easily negotiate for a lower price.As an alternative to getting a loan for youself you can offer to buy a house "subject to" the original loan.