@Shayan SameerThe non-paying tenant could impact your short-term cash flow, so consider the potential costs and timeline of eviction in your state.

What does a cash positive investment mean to you? 

I gave the house a harmonious name, & so far it has cash flowed from day 1. 

In Phoenix, a 1996 build is practically brand new when compared to a WWI-era home in Cleveland or Pittsburgh or some other Midwest or East coast city.While I agree that older homes come with more problems, buying something newer may not work as the price will be higher and won't cash flow as well.I'm of the mindset to buy what fits your budget and investment goals.

We need the cash to mostly just tie us over untill we sell the property, so 150,000 is on the upper end; 80,000 and above would probably be sufficient. 

Despite wanting to handle it a few other ways I reached a small cash settlement with him to drop it.

I assume you would have to pay cash, because you have to spend all cash received to avoid taxes.

I wish someone had told me about this when I bought my first place.I run a Property Management company and would only recommend a property mgr if you are cash positive or physically cannot tend to the property.  

I would, If in this position, take the equity in the form of a HELOC and purchase a cash flowing asset that would not only pay for itself but pay for the cost of the money while putting cash into my bank account each month. 

If you have 1-4 unit residential that's already cash flowing I would go DSCR if you have a ratio of 1 or more.