I just posted over in the Landlords & Tenants Forum about the Dangers Involved in conducting an eviction. 

We wouldn't do the 50/50, I would simply tell them that they have to pay for the inspection and if it comes back with dangerous levels of bad mold.

The old saying, "I know just enough to be dangerous", comes to mind.  

It's pretty dangerous to start RE with money in your pocket.

This is especially dangerous for folks who use a PML or HML to fund the purchase with terms such as 90% LTV or 100% purchase price / 80% rehab costs... when the appraisal comes in low, you may need to bring money to the closing table to get the refinance done.. and if you planned on refinancing the deal and getting out with "no money down" this can put you in a bad spot. 

If an OOS investor isn't going to go through the trouble of actually visiting a market, actually researching trends in the market, if the OOS investor doesn't have the experience to walk a neighborhood and tell the difference between blue collar hard working neighborhood and an actual dangerous neighborhood, then yes, that OOS investor will probably get stuck with a non-appreciating, low-performing, soon-in-need-of-capex investment. 

This is my fault as I knew just enough to be dangerous and now I'm paying for it. 

She did however have to deal with bat issues, and the fact that she had to remediate guano from the attic which can harbor dangerous fungi spores ect.In a home built between say '50s and '70s then asbestos may be a huge item to look for.

One important distinction I determined was between the investment in the funds vs the investment in the property.

These areas are dangerous.