If they're evaluating other properties and you have a good social presence that gives them peace of mind and a good sense that they'll have a nice living experience, that could be the tipping point if they're considering a similar property. 

So basically in my mind this would not be a great financial move as we be accruing about 200k more in debt if we were to sell one house and take the cash from there and use it as a down payment.

Keep in mind that those who take the buyout will get 8 months of income, so I don't see that as being a factor in the next 12 months for them. 

Those are the 3 options I have in mind, what would you do in my situation?

Stop hanging out with your deadbeat buddies who spend all day drinking, talking sports, and otherwise wasting away.

Mystery and fear intermingle into the minds of investors when it comes to properties that are distressed.

Keep in mind with a 1031 exchange, it's important to ensure that the total value of the replacement property is equal to or greater than the property you sold.

I just made an account, mind sharing?

Don't be fooled by the seemingly higher bars in Whitman, the normal line in Grays Ferry is actually closer to or above 250k for the same metrics while Whitman does not break that threshold:Keep in mind, Grays Ferry is significantly larger than Whitman. 

Keep in mind this is a self-directed account and most are not.