During inspection we tried on the water and found 3 different broken pipes which ruined the drywall in the living room, a bed room and the garage.

Your credit will be ruined if the ex decides to stop or simply can’t pay the mortgage and the mortgage holder isn’t going to care that the ex was suppose to be paying it.

I am so upset they will ruin my credit, plus I don't have the money to pay them--not that I would want to.Any suggestions?

Ruining the persons credit.4)Find a lender.

Scott if Charles has good credit he might not want to ruin credit with a foreclosure for awhile.The lower credit score will affect rates on credit cards, car loans etc. for awhile until it rebounds.

Your still young, don't let a bad apple ruin the real estate goals you have established.  

I'd love any further advice that you could offer to help me avoid financial ruin on my first deal.

I was in the process of negotiating a portfolio in Indianapolis and when I asked lender for preapproval letter he mentioned I can only finance a max of 4 homes which ruined those plans for me.

I would run the numbers with a higher vacancy rate... something like 10-12%.It doesn't ruin the deal, you just have to make sure that your math is figured reasonably in your analysis.Also, I usually figure net income (if I don't have real figures) at 45% of gross rents when working with apartment buildings because you will likely be responsible for common area and ground maintenance which is an extra cost.

The situation:Our 32-year-old daughter-in-law has just been diagnosed with breast cancer, and along with a number of other serious health issues, is so ill that our son can hardly work.