How much do you know about this tenant and their mentality?

That being said, the people seemed hard working and friendly and I personally have no issues working with people of this mentality or the challenges that come with it.

Mental slavey is really a sad thing.

How do I deal with that kind of mentality?

I'm curious to see how many trips they will make back and forth from Arizona, and how many dumpsters they will pay for before they decide it's not worth it.I mentioned I would be willing to buy the house as is, if they aren't mentally interested in dealing with cleaning it out, so we'll see where that goes.I never mentioned the house was built in 1902, and everything looks original from the exterior, so i'm sure the inside is the same. and @Brock Adams i did check the tax record and the town doesn't seem to care about the condition, it's assessment is actually middle of the road for the surrounding houses, and it is clearly the worst house in the area. 

If you understand tenant mentality well and have good negotiating skills, you may be able to make it a win-win.

It is an alternative to being a landlord - you're cash flowing but you resold it at fmv or higher, you received a down payment and you're dealing with a owner instead of a renter (typically different mentality).Your issue seems recapitalizing so you can do more deals.

I have a buy and hold mentality and love the BRRRR strategy.  

You need to embrace the mentality of a student and continue invest in your education, both formal and hands-on, real-world (my preferred method) learning.

You can build your mental database of various property conditions, approximate values and area trends.