This may force attrition or get them acting more in line with where you see the area going.And the faster you can get the exteriors of all the buildings cleaned up and looking nice, the better. 

We clean our units before we start showing.

And are some of the fees check to see if the title is clean/clear?

Fresh paint everywhere including ceilings, replace any bad flooring, ensure everything is clean and fresh looking.

Let’s say everything went well, you leave with a healthy amount of capital for your next deal, and then what happens with the existing property that now has little equity?

Since our properties are thoroughly cleaned in and out and sanitized in areas that are mostly inhabited by people on their stay we explain our cleaning process.

A lot of California investors look here in Phoenix - it's a short commute, we have a healthy market with lots of job growth, and appreciation has been reliable.

I then only had to clean up the upstairs unit.

If you have gutted it, and cleaned it out, that's great.

You could buy 4 cash flowing properties easily here and have a healthy reserve.