If the leak is coming from any pipe that's pass the water meter, then that's your pipe and it can be fix at a low cost but if the leak is coming before it reaches the water meter then that's also your pipe but requires city permission and that's at least $10k.Your from Brooklyn I'm from queens, I have work on these pipes before and I could tell you is going to be a pain.

If the property has a viable use for a lessee,  you could structure a lease where they do the upgrades on the property (note:  only with your permission and what you state can be done in the lease agreement).Lastly, it may be prudent to take the amount of cash that you can get from the sale of the property and place in another deal (i.e. multifamily) that can provide you and your family with cash flow.  

It was hard to repair.Even worse, we had one tenant who ordered cable service without notifying us and allowed the cable company installer on the property without our permission (its in the rental agreement that we must give written permission for any telecommunication installations on our property).

I don't want to put your email address into a public forum without your permission. 

We just notify them that a property management company will now be collecting rents and making the PITI payment to the mortgage company from the rents collected.)So next I proposed a land trust, whereby he would seek permission from his lender to deed the property to a trustee.

This is assuming I get landlords permission

My tenant has informed me today that she decided to sublet one room in my house to her "dog walker" without even asking about my permission.

Since I gave them verbal permission to stay now I have to go through the eviction process to get them out.

You can try to approach the bank to get permission, but I do not recommend doing it behind their back.

I have a somewhat related question, I have section 8 tenant that has her mother living with her (with my permission, btw).