You can refinance into a FHA 203k or like @Jason Wray mentioned you could even use a Fannie May homestyle renovation loan as well!  

Also Minoan has so many companies to choose from which makes it confusing if you don't know the suppliers well.

Our end goal is to be in a position where we can be very selective and choose the clients and properties we work with so that doesn't happen.

Having a local trusted partner to manage your investment properties is key as well. 

Well I think he was planning to pay it but it wasn't long overdue so he certainly wasn't expecting a lien to be placed on the house one day prior to sale.

Everyone I spoke with was knowledgeable and pleasant.

We negotiated a deal with the owner for 20% Equity, we are responsible for infilling the community as well as property management (which we also get paid separately for).

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.  

Dave NA ,Non LLC and non corporation husband-wife holders of rental properties do not have to file a partnership return; They can file Schedule E.The problems comes if it is held by an LLC(Two-member) in a non-community property state.For the management activities I would still recommend using an S-election or C-corp if applicable.

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