The risk of the business is on you and whether you have the expertise to pick the right asset, in the right location, and operate it properly.

In ID I dont believe there is any high balance FHA limits that I know of (Coeur D'Alene, ID).Then again I dont think you need high balance limits anyway as the regular limits of FHA 4 unit property are well in excess of 1.4M and Im pretty sure the fourplexes in CDA arent that high unless you've found a unique Specimen of a fourplex house hack strategy.

The key is balancing cost with the value of your time—both approaches can work, depending on your priorities.

The buyer then sends their EMD to the title company, and you specify to the Title agent that any EMD surplus balance is sent to you at closing.

Your remaining balances weren’t entirely clear on the two mortgages, they are really low rates, so instinct is not to refinance them, but sometimes it is worth it for the longer term vision.It also seems like you may be considering tapping your equity to replace your income, without knowing your age or long term goals, this doesn’t seem like a great idea on the surface.If you are interested in jumping into real estate full time to replace your income you should realize that is probably going to take 12-24 months.

Give them proper notice and get them out2. 

Proper structuring with professional guidance is key to achieving both parties' goals.This post does not create a CPA-Client relationship.

The biggest takeaway from this deal was the importance of balancing renovation costs with market potential.

Seeing as how I'm not sure if you are communicating this properly, but one could be crossing ethical / legal boundaries --- maybe.Personally, the rental activity for that sort of property and tenant would not be worth the time.Thanks for letting us know. 

I can pay a portion and you can pay the remaining balance."