Right after I accepted these tenants loads of other prospective tenants came out of the wood work almost immediately. 

The 50% rule says that total operating expenses for a rental will at least be 50% of gross monthly rent. $1000 rent = at least $500 expenses.

They are loaded with info and experience from real people who have been there!

(NOTE: I don't have any relationship with Auction.com, and in fact have found them a complete pain in the *** when I have won their actual online auctions; but at the courthouse steps, they're a very smooth operation.)Homesearch.com seems to be getting into the trustee auction game as well, and they seem to have a pretty similar setup to Auction.com, but I've never bought anything through them.

Not sure about your market, but the market I operate in doesn't command that I do a flip-quality rehab if I'm going to rent out to tenants.

I'd make sure I get a copy of the current LLC's operating agreement and see how decisions are made and all the details of their agreement with each other and potential new members.

You can try to front load them with the info on what it will cost to build the new house but every investor will have his own opinion on that. 

Yes, I live in So Cal where music, film and entertainment people abound, however I did not want to have to think about how the product gets made, only show up and be the Johnny Carson, not the boom operator.

Which is how 90% of the US markets operate. 

Would be great to have a referral for a carrier that operates in AZ.