Please stop spreading this false narrative that someone who rents a room to afford living is a junkie or a criminal.

Otherwise, having a conversation with them on how to handle things like this moving forward would be productive in seeing how they respond.

If you have the other income and can afford to keep rolling your RE profits and additional money into growing your RE empire for the long term then there is no rule saying that you shouldn't or can't do that.

The issue lies within the inability to currently afford a bigger house in the area we live.My W-2 issues annual stock distributions and I just received my first one (40K).

I have great credit, killer salary, and a bunch saved up but still can't afford a 20% down payment on anything over 600k. 

Investing in multifamily properties in Philadelphia is popular due to the city's steady population growth, job opportunities, relatively affordable property values, and solid rental demandPhiladelphia’s multifamily market offers a range of opportunities, from high-end neighborhoods to up-and-coming areas with great cash flow potential.

I would keep and hold it for the long term, unless you can deploy that money in a much more productive investment. 

(I have found a 2-1 that I can afford in a conservative 7% appreciation market)I’m also thinking about putting more effort into lead generation beyond just Zillow to expand my options.

Since it is the product of a divorce proceeding the IRS will go along with the divorce decree.

If the inexperienced investor knew how much work, effort, time, analysis, negotiation, organization, capital, and knowledge it takes to successfully find, identify, evaluate, and close on a property that fits the criteria that gurus falsely claim they see 100’s of every day, 99% of them would abandon their real estate dreams” and pursue ostrich farms, mink breeding, or setting up a “down line” to sell condensed cleaning products that their “upline” has an exclusive distributorship on for the southwestern quadrant of Bisbee, Arizona.