I would use a fast dry oil primer like PPG's 17-964 (http://www.ppgpaints.com/products/seal-grip-interior-premium-quick-dry-primer-sealer) to seal up the paneling.  

@Patricia MillerI think that your question has a complex answer, and several moving parts need to be understood to get a grip on Denver rents and housing prices.- First, EVERY city that has housing prices significantly above the U.S. median sees the same thing in respect to proportionately low rents to property value.

But i will look further into your advice and yes i will speak to a lawyer shortly to get a better grip on how to structure the deal. as your friend mentioned yes jersey politics plays a role as one major reason the owner is finally selling is he has pissed off many important people in the community as he attempted to open a new place and went up against those in power instead of working with them... so we feel he knows there can be some pressure on teh existing bar. that being said the community would probably be happy to see him go and accomodate the new owner.

The flipper contractor has a better grip on his scheduling, (DIY Network shows notwithstanding), and the homes are usually vacant, where a PM contractor is usually responding to breakfix repair or preventative maintenance and must be able to work around a tenant's work schedule and household belongings.You should become a HUGE flipper, and then you can get great pricing, or own your own construction company, (which is where a bunch of our BP colleagues are going).

It looks to me he was only doing a test, no installation or anything, and no drop in water level could be correct, who knows, you would have to mimic what he did to prove your case, and now that you're doing the remodel and actually touched or moved stuff around, you lose the grip.

Get a grip woman.It makes sense to me that the lender is owed $24K on a $40K loan made that long ago.  

It doesn't matter if you are young or old, totally new or need to build upon your experience.Yes, you have just announced a commitment to the thousands in this community about your seriousness regarding REI and have taken this bold step to affirm it.Your time on this site and with the BiggerPockets community will be well spent and can be financially rewarding if you so desire.You are here at the Forum, but, should raise your mouse to the top and explore the otherheadings displayed.Don't get overwhelmed by the massive amount of data archived on this site.Simply, bone up on the areas that you need to expand knowledge in such as, Forums,Marketplace, Learn, Network, Analyze, Resources.Feast on the Podcasts, #askbp Podcasts, blogs, webinars and the myriad of bookrecommendations.Also, you can review the quick links below to help solidify your grip on this site. http://www.biggerpockets.com/starthere http://www.biggerpockets.com/ubg http://www.biggerpockets.com/meet Setting up Keyword Alerts How to Use @Mentions on BiggerPockets 25 Tips for Real Estate SuccessAfter becoming more knowledgeable and confident because of my above suggestions, take action to snag your first real estate investment deal if new or add to your existing holdings if you have prior experience.Don't get caught up in analysis paralysis.You must immerse yourself in the RE marketplace locally in your neighborhood or afar if the situation warrants it.Take calculated risks if needed and you shall be rewarded!"

Probably the fear that grips so many, but no longer!

However the only downside is what I mentioned previously, there are currently small private mom and pop businesses that have a firm grip on the market and own many properties in this town.

Please apply the same fix to any stairs hand-rails....shingle strips nailed into exterior wooden stairs for "grip"