If I was in your shoes, I'd pay them off or simplify the portfolio to the "best" ones and hit my cash flow goals. 

I've never heard of telling people to wear shoes in the house.

4) What I would do with 40k if I was in your shoes is i would get pre approved analyze the potential deals on small multifamily specifically a side by side duplex.

This isn't Nike and Michael Jordan and paying the NBA per game fine for having too much color on your shoes... this is pretty serious stuff.Unfortunate, for sure.

Quote from @Elizabeth Rose: We recently bought and rehabbed a standalone Philadelphia townhome - the city knocked down the townhomes on either side about 5-6 years ago.

@Rose Jones, if you haven’t already, take a look at Navy FCU.  

Asking for a 24 month term upfront will be cheaper than asking for an extension 12 months from now, and we all know it's not going to get done on time anyways, so that would be my "ask" in your shoes.

It’s hard for me to think someone would consider an offer at this price but I’m not in their shoes. 

@Rose Jonesso, what's your question?

Current rent for a 3/2 is 2200$ .Is it wise to convert the officeroom into a bedroom by adding a closet and then market it as a 4 bed 2 bath for 2450$.What will you do if you were in my shoes.