Now, this 20k your are so positive you will achieve in appreciation; what if there is a major crash or some terror attack that destroys appreciation for many moons?

Then you can simply have a 10 day window in between and because they left it in such good shape its a handyman for 1 day doing something like replacing blinds their cat destroyed or a few easy fixes. 

That will destroy refi plans.

Hubby says that the tenants will just destroy it and its best to just wait the 5-10 years to put the money into rehabbing those things, whereas I think we should do it now.

Managing real asset and managing portfolio of company is vastly different.Things get destroyed when newbie enter these two fields with the spirit of "passive investment"

Your taxable gain (based on income) would be $68,500 at averaged (13%) = $8,905I'm not a CPA, but this is a rough understanding of your position - hoping someone destroys this breakdown. 

Did they google how to destroy an apartment?   

A good manager can keep a mediocre investment successful; a bad property manager can destroy a good investment.If you find a good PM, they will tell you which neighborhoods and property types work best for the market.

Just evicted my first tenant in Akron and they left behind a HUGE mess of trash and destroyed a majority of the property.

Interestingly, they've recently negotiated a re-purchase price with us IF we bring new funding to the table.The rehab is required for several reasons: (a) correct the damage the bank has allowed to happen to the property improvements these past few years (known problems include completely destroyed pool makeover; wild animals living inside the residence; flooring missing in sections of the rec center building; destruction of the decorative main entry gate mechanism; lots of dead landscaping; as well as latent defects not known to us such as working plumbing, HVAC & water services) AND (b) expansion & upgrading of the accommodations (converting the private residence to a 2-story lodge with the restaurant/bar, reception/check-in, movie room, public restrooms, gym/sauna/steam room/massage therapy room; enlarged pool & deck area with climate-controlled cover for year round use; conversion of former restaurant/bar building to a general store selling venue collectibles & wearables, selected pre-packaged foods, sundries, RV & camping items, bagged ice & a propane refill station; construction of a free-standing event center; free-standing cabins; enlarged & upgraded RV park with its own small restroom/coin-op laundry building; outdoor activity areas; new landscaping & fencing; new parking area & entry drives (personal car & RVs).We know our target audience having created and operated the former version of this resort for almost years creating an initial membership base numbering about 1,100.