Dana Chun they owe you $7,200.I would also read the leases carefully as you don't know what other undesirable terms are hidden in it.It's not an uncommon trick in multifamily properties for the seller to cut sweet deals to some tenants just before the sale.

Many of us have also been in your situation, having a few surprises after purchase and some undesirable tenants.

Tonight while working on mudding some holes i heard my tenant walking on the other side of the wall. 

@Wendy Shoda  all good ideas I was thinking maybe move the laundry area to that space and have it become a laundry/mud room.

We found that April and May were almost completely vacant each year (mud season), then things picked up again the 3rd or 4th week of June when school let out.

I have done this on floors that we had to mud first to level off before putting tile down.Good luck.

I was looking at housing in the area, but all the cheap stuff is of course in undesirable areas and probably not worth the risk.

Not the first time the word "FEMA" has been dragged through the mud.

If the developers and funds holding these companies did decide to drop prices to sell some inventory, it could have an undesirable effect on the market. 

Not only can you get mud on your face you could lose money for someone, it happens, so responsibility for decisions is theirs, not mine.It forces them to think, my job is to calm the fears and inform as to general and prudent practice.Start telling someone to put 20K down and then they find they could have gotten it at 10K won't work very long, if it got to involved they might look to you for the errors of their ways too.Keep yourself out of the deal.......or get involved and partner and share the risk and reward, otherwise stay out of it. :)