However when the inspector showed up to complete the rough inspection for the beds/bath remodel (at which point I would present the letter from the engineer) he noticed the porch was new and decided to write us a violation on it..

Would like to know the approximate fees attorneys charge to file the Sce 22-5 Notice and then the cost to obtain order for tax deed.  

I personally would rather try to use OPM and put my own money to the best possible use such as doing private lending, investing in syndication or note fund, or even index mutual fund... all of those would yield me over 10% return.

The other option is to use a conventional loan but hard money/private money for the down payment.

During inspection noticed cracks in the driveways and after further investigating found roots causing the cracks and were going into foundation..My main concern was roots damaging pipes before having that issue I had tree removed.Honestly I have no idea how big are Cherry Trees and how are the roots.

Would a hard money lender or Private Lender be a good source of funding?

At $1.2MM, there better not be much public improvement, utility, or private facilities required.- For something small like this, you're gonna need someone local who's more of a boutique developer. 

You can talk to a private investor, but not sure I see a big enough profit in your deal to take it on.Start living like no one else does, get a second job or a better job, so you can save $20-30K and you can make this happen.I've had to pass on two deals 'cause I didn't have the cash to put 'my skin in the game' (just put $70k into buying a primary residence).

If this is a Private Lender Loan then you usually only make interest only payments.  

Keep in mind the interpreter hasn't made payments on time under his fraudulent agreement and my client received several foreclosure notices during this period.