Collect the difference. 

The landscape is just different than even the last 3 years with people making bad calls but getting saved by significant appreciation. 

Also @Andrew Syrios thank you for your opinion also, it´s pretty much helpful to have different opinions and perspectives, but still difficult to decide when someone it´s just beginning.  

If the structure on the property is determined to have no value, be careful when you consider paying the “value of the land”.The value of raw land is different than the value of land with an existing structure, even if the structure has no value.  

How long it takes to be financially ready is different for everyone.

I know I already mentioned this, but @Mordy Chaimovitz...If you can get by with lower cash flow and invest for the long-term generational wealth (aka appreciation) in nice neighborhoods, that is the way to go, but it's tough to get by at times -- at least it is for me.Just know everyone's situation is different, and you should do what is best for your specific circumstances!

@Landon Sheveland People do fix and flips while living into the property to classify the property as primary residence and not pay any capital gain taxes. if that is your intention, don't use LLC to establish this as your LLC.If your goal is different compared to what I said above, you can use LLC.

Most would agree that taking money from you primary residence is not a good idea at all. 

Mom-in-law can buy the property as she will sell her primary home.

Change your story each month as different stories will resonate with different people AND use each story to emphasize one of your “who do you know…” questions.