I recently was advised by my broker that in order to purchase an additional property in the future I had to pay down more debt (I have great credit, I work in the medical profession with great W2 income, etc etc). 

Now that you've gone through this, have you set up any procedures prior to buying the property to avoid this?

@Ethan Spielvogel A lot of my clients use Realty Medics and are pleased with them.

But, if audited, it will be very difficult to defend.The correct procedure is to get the contractor's SSN (have him complete Form W9 and verify against his SS card) and warn him that he will have to pay taxes on everything he was paid in 2018, including cash already paid to him.

This is where many new landlords get in trouble for not following procedure do what they "Think" is correct..

Lien laws are state specific and have Very specific procedures to follow in order to file a proper lien, and specific forms to use fir notices and filing a lien.Your contractor should be familiar with the requirements. 

Some scammers are pretty smart and likable.Did the state have a medical claim on the house that is not recorded yet?

When I work with PMC’s I’m helping them structure their business to make sure their foundation is solid and also that their policies and procedures align with their culture and also that they are providing the best service possible and assist in getting them there. 

I have told them  I'll sue for hotel bills, travel and medical expenses as well as damaged property and floors... but I am holding off ONLY as I know these expenses and court costs will be paid for by my neighbours.The HOA board have finally offered $1700 for a $6000 claim in October 2018. 

I would ask them what their policy and procedures are for these types of scenarios.