@Dorothy Ma If I read the zoning correctly, this particular block can only be duplexes limited to two stories.

You're correct; our decision to pursue developing a new MHP is based on demographic data and economic employment analysis (aka, base employment analysis) which, when coupled with other specific reference points, clearly indicates an opportunity.

So if they remaining loan is $160,000 like you said, $10,000 is my available cash, but I wouldn’t use that $10,000 as a down payment, they would use the extra 15-20% over the 20% threshold of my original home’s equity of $40,000 as a downpayment for new home correct?

Suppose it is a matter of doing enough due diligence on an area or acquiring a property with a good tenant who hopefully is content with where they are at.You are correct about multi-family - there are not a lot of deals out there because there are a lot of people looking and money is cheap. 

They only do money orders though correct?

In my area, the winning bid has to fill out some paperwork immediately and then we get two hours to bring in a cashiers check for the entire purchase price.

Take this with a grain of salt because I did no reading of this myself and not sure if I remember her words correctly but I think the requirement is you live in the same place for 5 years to get that grant.

I tell parents that they really have to bid ferociously to become the highest bidder. 

We have funds to most likely close one our first and maybe second properties without getting into residual debt if we can BRRRR correctly.

We had a discussion with her about this in July of this year and spent 4 hours pulling weeds and correcting the issue then.