In fact, if your tenant does poorly, it may put you in a situation where selling is the best option and you will be stuck using the agent that caused the problem in the first place! 

If I owner occupied in b area or below I would consider this as an option.  

I plan to hold this property towards retirement as it's in the area I grew up (obviously anything can change).I am receiving conflicting statements from contractors/friends/family on which roofing option to go with.

I've looked into a few options that won't cost 20%.

However, this is not applicable to standard M1-2 zones.Zoning Map Amendments: If the property is not in an MX district, pursuing a zoning map amendment to rezone the area to a district that permits residential use is an option.

And no other buyers can get a loan on this thing either because there's no income to show.Anybody have any lending sources that might do this as a value add project?   

I recommend a broker that works with over 220+ lenders so they have more options than just your one bank.

Many people that reach out don't have the 50% down to even achieve this option.  

There is not even a cohost option that I know of.Are you going to get a PM license?

The second option is that she go to court, where she will lose, you get a judgment for everything owed including cleaning and repairs, and then you send her to collections where it will prevent her from qualifying for another rental, getting a car loan, etc.