As long as you can get clear title then I wouldn't eliminate it just because of the squatter

Outsource, delegate, eliminate.

It's those maniacs that buy homes cash via quit claim deed off of craigslist that really get screwed.Make sure your property manager is a licensed real estate brokerage.Understand you can not eliminate all risk, only mitigate it.

If you are cash flowing positive without paying 100% cash, then you are not paying the added $150k + 65% interest...your tenant is.When you buy a cash flow property, the cost to you, is what cash comes out of your pocket...and your tenant pays the rest...as long as you are CF positive.When you pay $30 DP, and finance the rest, those two properties cost you $30kWhen you pay $150k, and eliminate the loan, you are paying $150k for these 2 properties....and, you have eliminated any potential to buy anymore since you are no longer have any money.

Currently I don't put rental properties in my IRA because it eliminates the inherent tax advantages of them.

Good questions to ask, or things that should eliminate them from further consideration?

And we can use the money she “gains”  from the sell to maybe put back into condo itself to eliminate some interest (or for other purchases, expenses, etc.).  

He will have a huge advantage being in law enforcement in this regard he can screen background checkand read people far better than the average landlord could hope to and mitigate getting a bad tenant therefore virtually eliminating his headaches

Then eliminate the one that is not working and either try another one or put all your money on the one that is giving you results. 

Explaining this upfront generally eliminates the high maintenance applicants.