(Unless it was a rental, then you have to pay depreciation recapture as well, usually at 25%.) 

Well thanks for replying now!

One of my applicants showed up with little credit but no defaults, no evictions, and only traffic violations and verified income high enough to cover well over 3 times the rent and I accepted the tenant despite there being some signs.He paid the rent in time for the most part until a few weeks ago when he stopped and I could not get ahold of him.

It may sell at a loss if someone else knows that you are trying to get rid of it because of a bad tenancy, but if you can get a well qualified tenant in there, then it may be worth keeping at this point if you can make it get some decent cash flow.  

Cosmo - I personally don't know Phoenix well, but if I had to do this in another city I would look at income levels, crime levels, and population growth (if you can) by zip code and/or area within a DMA as a starting point.

I came across this brand new property, in a great intersection that’s leased out to LazyDog restaurant & running well.

(Well it was all good info, but that is what I can focus on first!)

💰Well said!

If they're cash flowing super well, why sell or take out a HELOC? 

He is a wealth of knowledge on the area and is actively investing locally as well.