Plus, if I have some "Smart" features, I could do smart lighting, connect thermostat and all that to the same hub. 

I've pretty much settled on a light gray for all of the walls and white trim and ceiling. 

Rooms with no ceiling lights are not that uncommon.My living room in my personal home does not have a ceiling light.

The previous owner must have been upset about his/her loss because there were holes in almost every wall, lights pulled from the ceiling, appliances damaged, etc. 

Very useful advice @Duncan TaylorSince this is definitely not legal advice I would be interested in hearing from other seasoned investors about what they have done.The guru scene is all about layering entities, yet at a recent Meet Up I attended everyone looked at me like I had just salted a light bulb when I asked who does that.

Knowing this will put you light years ahead of the local competition.

Is anybody familiar with a situation like this and can shine some light?

We used a private money lender who supplied 90% of the rehab money and I supplied the rest@Henry Good unless you are going for a light rehab (ie. paint and flooring) conventional lending will not work.

I also recommend swapping water and energy hungry fixtures(notably, the toilet and showerheads and any incandescent or swirly bulbs) to water and energy efficient counterparts.

Would love to hear from someone local who can shed some light on this!