Having said that, it's no picnic, and there will be times you regret quitting, but it sounds to me like you've already decided. 

Sounds like you are trying something tricky for your first deal, which adds to the complexity.

We could probably find tenants at 1700, more if we updated the floors in kitchen & bath.HOA seems well run with sound financials. 

Sounds like we're in the same boat.

As Anthony mentioned, this sounds like normal wear and tear.

Showing within 24-hours after accepted offer with proof of funds or lenders pre-approval"...something to that effect...just depends on your market and state requirements.

Usually the payoff from lender will provide an itemization of HOA (if applicable), PITI, Attorney Fees, and all other fees that will drive up that debt.Is the title still in seller's name, if not, it will have to be reinstated in seller's name.This is but a fraction of what you will have to deal with when dealing with preforclosures.On the surface, it sounds promising, but there has to be more time, so the clock will have to be stopped by a TRO or Bankruptcy or even a possible contract from buyer.Could you pay what is in arrears and try and modify the loan?

I don't know how long the eviction process takes in Ohio though so it may be worth trying to get him out on his own but it sounds like that isn't going to happen.

If it sounds too easy then walk away because it is probably not a good deal. 

sounds about right.And I'm new to this 'house hacking' term -no one in real estate (at least in Florida) uses it unless its a Bigger Pockets member or millennial, but from what I gather, to house hack is to buy a home and then rent out the bedrooms to offset your mortgage.