I told my accountant that I still see the carryover loss and asked if he was able to deduct the loss from the cost basis.

Of course you will still have the turnover costs with tenants.

.#8 I would consider your inspection cost a very cheap crash course in buying long distance investment properties. 

(after I deduct all the labor/material costs).

The highest appreciating markets and those with the greatest rental demand/price- like those in Florida and Texas - also cost more to acquire and insure. 

I have already shopped insurance, and the sellers are providing $5k towards prepaids/closing costs. 

If so, what will be the typical time and cost to pull the permit for such a project.

The mortgage company gets paid off first, then in a traditional sale, the rest minus agent fees and utilities and closing costs goes to the seller.

As lenders, well issue a prequal/preapproval letter if we've analyzed your income, assets (bank and brokerage statements to establish that you have the liquidity to afford the down payment, closing costs, and reserves), review credit of the guarantors, review the relevant experience to ensure that we're not throwing our money away on newbies that are wandering around in the dark, and have put together a reasonable plan of attack for the project.

Would I pay for all the remodel expenses and then 50/50 split of profits or does contractor pay remodel cost?