This deal, i used my first successful buy and hold property and pulled a HELOC to secure financing and reserves.

I'm very new to investing and weighing which options would benefit me the most.Option 1:  Use the cash as down payment on another primary residence and rent out the current.

Quote from @Enrique Toledo: I came across a really good seller financing deal and I would like to purchase it as my first deal but I don’t have enough money for the down payment.can I use a lender of some sort to give me money for the down payment?

I’m thinking of suing the utility companies for not notifying me of non-payment creating unsafe/ unsanitary situations that led to house fire, thousands in damage.

When do you make owner payments?

Unless the medical condition meets the state criteria for early termination and that the medical notice does not appear to suggest that, you cannot terminate the lease outright/immediately but that you will begin to market the property for rental and upon securing an acceptable tenant, the lease can be terminated pending a satisfactory property walkthrough indicating no damages. 

You will likely need to save up for your next down payment.

A lot of them contain Balloon Payment Provisions. 

Does anyone know of a dscr lender that will allow for seasoned money for a down payment and a really good property manager in Ohio specifically in Columbus, Cin, and Cleveland?  

There is no requirement to use them as mentors for doing the rehab projects as described in the horror story above, but they do their own underwriting so they will be investing themselves to assure the deal makes sense and is successful to assure they get their payments and interest.