If they are truly private lenders (as opposed to a hard money lender that sometimes call themselves "private lenders" and who have their own lending structure), then you come up with the game plan.  

If anyone who has more than 5 properties wants to get on the phone and chat about this as opposed to surface "keyboard banging" please give me a call.

I'm noticing a bit of a lull,  a very minimal one here in Abbotsford, and by lull I mean houses aren't selling in a day - more around the month mark; opposed to Vancouver where as far as I know it is still an extremely hot market. 

From the looks of things it needed an update, floor repair and new walls and paint and some exterior work.

Repairing the front steps and adding some curb appeal, that is something Id consider much more in the realm of getting your house ready to sell as opposed to investing in it.  

We've brought in two dehumidifiers which are helping, but I'm not sure what the root problem is or even who to ask for help.One contractor said moisture is coming through a hole in the exterior stucco, but another said no way because the vapor barrier would block it. 1st one recommended installing insulation, but I've also read this can increase condensation problems.

Do I need one coat or two on the exterior? 

However one does need a place to live, and you could make an argument that it is better to build equity in your home yourself, as opposed to building equity for a landlord.  

If you had a structurally sound home in a modest part of Birmingham, and it needed yard work, exterior paint, windows resealed, new carpet, new plumbing fixtures, water heater and heat pump, it might be worth $65,000 to $75,000. 

If the exterior landscape sheds water under the house instead of away from the house it can get quite deep and sit there for periods of time.