I can almost hear right now your GP coming back to you in 1-2 years saying construction costs have gone up, lease up is taking longer than expected, rents concessions are much greater than we thought....and now there are 3 competiting developments within a mile that are crushing our rents.   

Have you thought about out of state investing?

The property is located in North Miami, FL. I'd say it is a solid B class location 5 min driving to home depot, whole foods, publix, LA Fitness. 12 min driving to Surfside beach and Bal Harbor. Sales price: $900,000Se...

And I am not affiliated with him in any way...I am practicing gratefulness today and thought of him and wanted to put the word out there.

My thought was that we would ask for the money for down payment in the form of a “gift”, and then do all of the work of finding and purchasing the right property, budgeting and managing all of the renovations (and doing most of the labor ourselves), and selling in the span of 4-6 months. 

The Tenant called me asking for help (the GF aggressive and called the police on him few times) on how to handle this issue, any thoughts or recommendations ?

The next guests will almost certainly be upset that the hot tub is out of service for their stay and are likely to injure my near perfect streak of 5 star ratings which will injure search rankings and possible lose me bookings.Just a couple of thoughts on your reasons for not having a hot tub.  

sounds like you're being thoughtful about this and you got some really thoughtful responses back, including from@Travis Timmons@Michael Dumlerjust to pile on - it is very, very difficult to, in the short term, replace W2 income with income from long term rentals. 

My thought was that if serious damage was uncovered in the inspection period then I could back out.

Unless you're able to save to double your downpayment to $100k plus it might make sense just to engage in these markets you outlined and see what's available that fits your criteria.