I expect I will make mistakes in this deal so it is a nice small one which will keep my mistakes small as well!

Co-living is how I went from renting a room, Delivering Dominos, no savings, and not being able to qualify for a loan to financial freedom & a $2M net worth in 15 months.  

If he has a $5MM loan in place, what was that used for / is it coming due/ was it short term/ etc.?

Personally, I'd cash-out refinance into a 30 or 15 year loan.

For example, we have a minimum rent we're aiming for when we manage other properties because it's not worth it for us to manage a small property.The ideal client is someone who truly wants to be hands off and hire an expert to manage their MTR.

I would take them all to small claims court for the damages in your apartment.  

I am thinking of getting a list of leads and using the owner info to mail postcards or letters to find small multi family.

If you are looking to buy in PA, its possible you can qualify for PHA KFIT program that gives you a 5% closing cost forgivable loan.

You have a decent loan on the place that you won't be able to replace from a cashflow standpoint.So keep at it. 

FHA loans follow very strict guidelines when it comes to property condition.