He said that he was quoted $10,000 for a Lennox unit with all new install, or $7000 for a York system with the same equipment that is there (which the sales guy said was fine and didn’t require a full renovation).

Unlike a purchase/sale, it is not required that this be reported anywhere and zillow doesn't give already rented properties/prices. 

In the other hand, we do not feel comfortable buying this home anymore, our goal is to back out without paying a penalty of 2% of the sale price, and of course they are going to try and fight that expense.

Does the land contract sale also require an RMLO to "originate" the financing?

Don't be fooled there are fair number of seasoned investors in that market (for proof see my failed 3-4 offers that were beat out), they just dont feel the need to discuss the market online here because it seems like a bit of a tighter network. 

Most successful investor-friendly agents get their deals from multiple sources i.e. lead generation efforts; auctions; past clients; local network; active investors/wholesalers; other brokers; online marketing/advertising efforts; bandit signs; direct mail; etc - What do you require in order to take on a new client?

If the latter, the seller uses the sale of their property to pay off their mortgage; and the difference between their mortgage (the amount they owe) and the sales price is what they walk away with.

The Columbus (coreerocks.com) and Cincinnati (reiagc.com) local REIA associations are very active with mostly online meetings and then there is a 4 day annual convention in November (oreia convention.com).You can join and get realtor/contract recos and deals in the Columbus area by networking with other investors.

Had we dug into the "3-5 years old" disclosure better we would have found that the older folks who sold the home were most likely remembering things wrong because after the sale we got up there and found it to be near the end of its lifetime.

Purchase price: $4,800,000 Sale price: $9,200,000 16 unit townhome complex.