The deal is not looking nearly as appealing to me at this point. 

Right now our house is red brick and we would like to choose a color to match that rather than painting the brick.

In my comparisons, I had actually put them into an excel spreadsheet and color coded the cells green or red based on their answers.

I am looking at a duplex right now in this area (circled in red below). 

Yeah, I have been keeping a close eye on the Fort Collins, Laporte, Wellington areas and the market is red hot.  

For example let us say the market price of a given property is $100,000.00 and you want buy in at 20% below market so that there is some meat in the deal for you to work on getting out.

I live in Red Bank NJ and invest all over NJ - Bergen, Essex, Hudson, Hunterdon, Middlesex, Morris, Somerset, Passaic, Sussex, Union & Warren County.

And "Built in 1950" with "Section 8 tenants in place" would be a red flag for me.

I guess my question is, does any of this raise a red flag for you?

If they are servicing the loan themselves, it is a red flag unless they are licensed to do so or have a TON of experience.