Would this still be a good 1st deal to get the ball rolling or should I pull the plug and loose out on the $1,500 already invested? 

I talked to one pretty big one out of FLA the other day and he was trying to snow ball me in saying ya BUT our draw system is very fast LOL..

They are known for quickly evaluating deals that hit the MLS and then spamming the listing agents with low-ball offers on behalf of their clients.

Blink of an eye you can be behind a seriously big 8 ball. 

I'm ball parking over 100k if it's possible but the way I look at it, it would be a significant return on investment long term by adding unique living space and additional sqfootage.

That's a whole new ball game from a lending prospective so get prepared for that. 

This means you have to really crunch your numbers and you'll probably want to buy something off-market and below today's market values.Starting now is ideal because you live there and can get the ball rolling first-hand.

I should also keep a decent amount for reserves, so I shouldn't just spend $40k as soon as I have it, etc.Real estate is a slow game, but once you get the ball-rolling, though, it builds up speed and momentum, especially if you really dive in to find good deals and use OPM.

The buyer and their agent dropped the ball. 

Personally, I don't have a crystal ball, but I think the economy is going to roar here for the next 2 or 3 years.