I purchased it with a HELOC so higher interest debt until I can cash out refi.

Make sure you have enough equity to move forward and also you have to be below 50% debt to ratio income. 

Too much bad debt 😅 kind of a joke3.

At that point if would free up my Debt-to-income ratio (Nothing would be in my name & I could start growing again).

Deduct NEW property taxes after you buyDeduct home insurance costsDeduct maintenance percentage, typically 10%Deduct vacancy+tenant nonperformance percentage(we recommend 5% for Class A, 10% Class B, 20% Class C, good luck with Class D)Deduct whatever dollar/percentage of cashflow you wantNow, what you have left over is the amount for debt service.Enter it into a mortgage calculator, with current interest rate for an investment property, to determine your maximum mortgage amount.Divide the mortgage amount by either 75% or 80%, depending on the required down payment percentage - this is your tentative price to offer.If the property needs repairs, you'll want to deduct 110%-120% of the estimated repairs from this amount.Be sure to also research the ARV and make sure it's 10-20% higher than your tentative purchase price.As long as the ARV checks out, this is the purchase price to offer.It is probably significantly below the asking price.

Purchase price: $925,000 Cash invested: $200,000 13 Unit Multifamily property in the Waveland neighborhood of Des Moines, Iowa. pre-acquisition: 7% under MR and 15% vacancy/bad debt.

(2) Should we expect to settle for the full amount of the court ordered debt plus court ordered interest?

A private investor will want to see a few successful deals before taking out large sums as a debt loan.

You could do 5% down Fannie Mae program and quitclaim into LLC but the debt with still report to personal credit.DSCR is the way to go.

As you know, cash flow comes down to how much you have to put in the deal, what it produces, and how your debt payment is structured.