We sometimes go with income 2.5 times rent but no lower and that is with excellent landlord references.

Lenders will look at your prior two tax returns and will use the lower number to qualify you.

My 2 pennys...Let her admit she did it in email, text, let her admit she didn't get your approval, let her "attempt" dix her illegal mistake while supervising and recording it.Then when she fails tell her you are firing her and keeping her deposit due to professional level of recourse needed to fix her unauthorized work. then send her letter outlining all above why you cant refund her deposit.Our state its 30 days or less to send letter.

I have not done any kinds of deals like this one, but with this being a financed purchase, I would think you would have to get a commercial loan where the rate/costs might be higher and the amortization possibly lower as you wouldn't be able to get a traditional residential loan (to my knowledge) on this package. 

What I understand, from your post is that you are more interested in a lower cost home that would be comfortable to live in (no work needed) so you can save money for an investment while your fiancé (congratulations!!)

You can get away with a lower down payment, easy to analyze and some renters prefer only SFs.

When I run the numbers, even when I try to cheat and assume "that cost would NEVER be that high so let's lower it..."

A couple small pieces of advice when selecting contractors I would offer which is used in the commercial world is to always make sure you have (3) bids per job and level their scopes of work to make sure they are ‘apples to apples’.

At the foreclosure unction, the bank has right to bid up to their judgment amount, or a lower price if they choose.

The cost of living is quite a bit lower than the US average.