Option 2, get an oversized blade on a demo saw and cut half way through from each side.

Oh deffenitly go for it, my husband and I do as much as we can on our own (luckily my husband has experience in some construction areas and his profession is installing AC units and air duct) But we both do a lot of work like demo, sheet rock, painting, installing the cabniets even the roof.

Dealing with plumbing in slabs is a mess, just make sure your budget accounts for the extra work involved for demo and then repouring the concrete. 

For instance; I demoed the whole place, removed one wall, three doors, painted the basement and large mud room and removed all flooring that needs to be removed, and by the weekend I should have the yard all cleaned up and ready to go.

The ground level is currently occupied and the above level units are unoccupied (I will be living in one unit) and the other unit is vacant and will remain vacant (left in demo stages).

First, tear downs gets a bit out of the average investor's arena since there are so many contingencies of demo, debris removal and remediation of lead and asbestos of old homes.

I changed the offer to  $70k all cash and secured a $30k working loan from a family member.I did much of the demo work and replaced the garage door opener.  

Yin & Yang. 

SO now i have a shell of a house  - its been demoes and dryed out-  I know  a few guys in the trade who are not working who are going to board it for me.

It works out to about $1000 for a 2 bedroom apartment (this doesn't include demo.)