This way I can carry on with an ethical and legal eviction if there was no rent payments. 

Cost segregation looks at the $400k of the building and picks out pieces that qualify for a different treatment.

Depending on which, the treatment is entirely different. 

How it holds me back, is that when you hold a license, you are, or at least from a moral compass, should be held to a higher standard and follow the ethics of a real estate licensee. 

I am sure 99% of people on BP are ethical - however, you never know and someone can swoop the deal from right under your nose.2) I think $160,000 is personally a little bit high for that property.3) Alot of the basements in Allentown built in that period are not ideal for another unit.You may be to fix it to add additional square footage; but not another unit.

It does not look like there was ever any treatment done at any point to fix the issue, and some of the beams are completely rotted through.

I have a side online business, self-employed, and my CPA suggested that I should open solo 401k with that business and move my SDIRA funds into this Solo K account since it's got better tax treatment around UBIT.I contacted IRA Services and Trust (custodian) whom I have IRA account with and they said in order to open Solo K, I have to establish my company's Solo K Plan and provide them with "Self Employed 401(k) Custody Agreement".They said I can hire a CPA or lawyer to do that.

Unfortunately the world ( at least here in the USA) is no longer a place where the one's with the money will lend to those that really need it based on the strength of personality and ethical standards.

Is this possible and ethical thing to do for me? 

BE ETHICAL.