Feel free to be blunt as well as I understand being "kind" does not always translate to success or reciprocity. 

What kind of checklists should I go though especially since I have never done this?

For her the best bet might be to form her own LLC and have the two llcs take the property has tenants in common.

I can admit this was not in a great part of town - and the fire department thinks the previous renter may have been some kind of drug dealer. 

Purchase prices there are lower, but rents and demand are lower as well, and it kind of balances out.

Common real estate statistics like median home price, Average Days on Market, annual change in home value, # sales, # listings, etc.Which statistics can provide clues to how much inventory of distressed (off-market) deals there will be? 

I am just trying to figure out what kind of interior renovations would give the bang for the bucks such as stainless appliances, kitchen counters? 

This is the kind of input I really need!

Crazy happening before that was an 8-plex assignment of contract that turned out to have all kinds of violations and busted pipes out back.

Here in Canada, both commercial and residential mortgage have terms less than 10yrs ... the most common being 5-years, so "balloons" and renewals are the norm.As Omar indicated your primary concern should be running your business as efficiently as you can and maximizing the revenue stream.