I would greatly appreciate it if there are any experts out there willing to help me out with these deals or walk me through the analysis portion calculating the expenses to see what I am missing.  

I agree with @Alex Uman in that you have to drive the areas more than once to know where you want to live and walk and stay.

After closing, we had  [Buyers] did a walk through with a Home Inspector and didn't turn up anything of major issue. 

Have you physically walked the property?

And on a totally unrelated and gratuitous note, I had breakfast with Don Cheadle last weekend on that street at a side-walk cafe (well, he sat in the table next to me).

I've been involved in a few 203ks and from my experience, as long as the current owner walks away confident in the deal and the offer is solid, they aren't as concerned with the 203k side of things.

I was seeing if anyone could give me any advice on what to look out for or do that would make this deal a winner or cause me to walk away. 

But there is all sorts of sale fails from wholesaler that just walk from there whopping 50 or 100 dollar EM leaving sellers in a bad way..

After walking the property with my HVAC contractor he recommended a mini split may be the way to go instead of adding duct work for an HVAC.

I don't like walks along the beach when the sun is setting.