Buying in a good location and screening tenants really well minimizes a lot of this type of risk. 

You found a new tenant immediately, so there's no financial loss to you except for the time spent marketing, screening, etc. 

I think no one should invest with anyone who doesn't put 20-30% of the capital in themselves as a step 1 screening.

That will allow you to keep your low rate on $170k if you have a low rate, then have a line of credit that is only the size you need and easy to pay down.This approach keeps your $170k liquid, sets up a $0 balance HELOC for the additional principal you can get and you don't pay for the additional principal loan in the HELOC until you use it, and only for what you use.

This will give you guidelines during your selection process, so you do not discriminate and screen tenants appropriately. 

This caused it to get less traction as other homes at the same size.

Expenses: $1,225 (Mortgage, taxes, insurance property management)Rent: $2400Cash Flow: $1,175Overall I'm looking for a low barrier to entry, and will be screening prospective tenants myself so I'm not too worried about the area being not so great.

Foundations vents missing or foundation vent screening missing or damaged  9.

There is also an acre lot and garage and the price point is well below any equivalent newer trailers or stick built homes of similar size in the area (probably 50% of their value).

Personally we wouldn’t want the tenant trying to find a new person to fill the lease, as we think we have a better idea of who we want from screening applicants and we have a way to advertise for them.