I was thinking - go ahead and sue, when discovery comes into play and they have to testify under oath (for example were they raising money properly and how were they managing money) - many will not want to answer that question while on the stand. 

As a PM, I'm authorized to make emergency repairs without owner permission.

what factors should I be looking at when making this decision.  

The deal didn't make sense.

Are you collecting properties or collecting money?

It's tempting early on to leverage as much as you can so you can do more deals and keep liquidity, but increased cashflow especially with PMI will make you sleep a lot better at night.

Or just sell it at a loss… I need some guidance here, I know very little about real estate investing other than I know I’ll be losing money after maintenance and paying a property manager.

Everyone has money.

You’ll get a better return over the long-term by putting your money in the stock market.

Joint ventures entail utilizing your own money to buy properties with others.