You want to work with the specialist though to ensure everything is set up exactly right to be able to minimize taxes and avoid penalties.

I read of an investor who got sued by tenants and realized complying with this code will minimize problems. 

I agree with Richard and the price is minimal for the value received. 

Otherwise, the balance due will just continue to grow.Otherwise, consider a Cash-for-Keys surrender to get possession back with minimal losses (ie balance still outstanding).

The research I have done seems to indicate that while the towns are small, there are a high percentage of renters.Can anyone with familiarity of the area give me some thoughts on the rental market?  

Who cares, at that age if the foundation is intact do not mess with it, it has had 200 years to settle the likely hood of it shifting more is minimal.

They have done dozens of properties worth many millions and are doing very well for themselves and their investors.They solicit investors (accredited only) and indicate past returns on past projects and do pro-formas but no return is promised.

Our very initial research seemed to indicate that in DC a landlord has to wait a year to remove a unit from the Section 8 Voucher program.

I completely agree that zero-down could be an indication of all the problems you listed (jumping the gun, etc.).

I've yet to do a deal but I'm considering offering a deposit that indicates some seriousness on my part.