@Amanda Strickland Hi Amanda thanks for the questions you have to have 25 percent in cashiers checks at the auction then you have 24 hours to pay the balance. 

This would balance what your bringing to the table and help you gain experience.

You can defer taxes only IF you properly set up a 1031 exchange which will require hiring a Qualified Intermediary, about $1000.You have 45 days from the sale to identify the replacement property, 180 days to close on it.

It's easy to mess that up by not digging deep enough, putting in proper rock and possibly tying to a drain tile (easier said than done), oh and sealing the new hole in foundation properly. 

Also if they have truly never lived outside of a parents home you are taking a risk that they will take proper care of your home without having mommy there and that their relationship is strong and that they will both want to continue living there and paying rent for the duration of your lease.

And depending on zoning, you could convert it to a proper BnB. 

Other instances they stopped paying and the fees and interest collected goes up quickly including legal etc.I hold the note on a property that the unpaid principle balance is $65k but it has $85k in late payments, fees etc.

I think if you finally have the option (read: bank account balance) to put more cash down and “buy your way” to break-even or a small cash-flow then it’s okay.

The "carry trade" is sexy until it destroys your balance sheet.Short term, high value add deals that you can refi would be my strategy although in most cases  I wouldn't risk my home to do it.If you can live with a permanently higher payment then do a cash out refi and keep your powder dry for the opportunity with solid yield.If I sound like I'm speaking martian right now then don't move forward!

Goldman is just about half way in paying back the fines so they will most likely be still doing their massive buy/hold/forgive debt to earn the credits needed to forgive most of the remaining fine balance.