They were the very first tenants to live in the townhouse after we purchased it and did a complete rehab including new wood flooring (destroyed & scratched), new base boards and trim (chewed & scratched by their dog), new granite counters (stained), new appliances (all dinged & scratched), all new light fixtures (electrical not working & light bulbs removed), newer carpet (horribly stained, smells like cat urine when no cat was approved & torn), new paint (holes kicked through in multiple places), doors have holes kicked through, door handle on sliding door ripped off, etc.

Something doesn't smell right. 

Their contract makes them non-liable for any delays or foul ups on their part, and there certainly is zero motivation for anyone employed there to work harder to try to keep your business since they are your business.No thanks.

The good thing about a HELOC is if you don't use the money, no harm, no foul.

Once he smelled the blood of desperation, he got greedy.

If you got title insurance than the title company will fight that legal battle for you.

I recently finished up a good amount of new ceiling work and I look, feel and smell like a broken piece of sheetrock at this point.I understand that house hacking is more work than anticipated.

(That'll be a fun court battle.)

So finding another ay to pay down debt and get reserves might be needed: side hustle, overtime.But, trying to buy and hold if you can't service current debt and don't have reserves can set yourself up for a very long uphill battle.

If not you may be fighting an uphill battle.