@Arun Gokhale - if the street flooded when they found the issue initially, it sounds like you can present it as the broken valve is causing damage to your property and adjacent street area. 

IF you shop in the midwest then your at a much lower entry point for purchasing.Have you decided which market?

The problem with many markets (and subsidized housing) is the rent can only go so high and then is not marketable to the potential tenants shopping for a place to live.

Hard Money guys are like "pawn shop" financiers. 

The problem is further exacerbated by the fact that when I get home I am also working a minimum of 40 hours in the shop getting the next project ready to ship offshore.....

You should consult with an agent or lawyer by the fact you are actually selling an option on your property $500 is way too little for the privilege and you need to get the buyers financial statements to even see if he is a possible buyer .On the surface it sounds like he is shopping your property around . 

you want to sit down with your HML before you go shopping.. at least that's how I would do it. 

I have an appointment with the City’s economic developer and with the Historical society to get more information as far as construction, and challenges with past developers that couldn’t or wouldn’t go farther with it.There was a proposed shopping mall at one point for this property that never went past the planning stage.

All the information that was told from him on that work shop can be found here.

Finding the tenant is the toughest part, most RTO specialists actually find the tenant first and then shop for a property with them.