People are much more likely to tell you, "We'll think about it...we have a couple more places to look at", than they are to tell you "I have a criminal record/bad credit/eviction record/whatever and don't think we'll qualify for your rental".Of course, if your rentals are overpriced, and they are able to find comparable housing for less money, then that's another possibility as to why they aren't coming back to complete an application.

I would also make certain someone not paying their taxes is paying their utilities, because that could also add up if they aren't.

But if you aren't able to pay it back easily, and would honestly rely on the success of the second deal to pay her bank consistently.... then take the love reduce repayment and pay her back the 20k.

My agent sent me a list of comps today for the area, which was helpful since before I had been relying on realtor.com and other 'sites' that aren't the best for reliable data. 

Judging from the first few pages of the beginner's guide, I think we're looking at possibly doing some buy and hold strategies on single family homes and duplex/triplex/quads, since we both love our jobs and aren't quite ready to jump into the real estate game full time.The amount of information to read up on and understand is dizzying, and I have never so much as held a mortgage of my own. 

Rents aren't that low, so that makes me think I am overestimating something on the expense side and was wondering if anyone with more experience in Arlington would be able to see something I don't.

However, there aren't any appointments listed for this weekend, which is when most people want to see properties.

But you should be aware that people in this tenant's situation aren't always perfectly rational, no matter how hard you try with them.

If they aren't offer to do work for FREE!

If local lenders aren't interested, there are national commercial lenders who would probably consider this one.