HIGH LEVEL VIEW:Potential locations: appreciation, population, per capita income, taxesLocation validation: major employer viability, economic trend, economic stabilityTarget tenant pool: segment most likely to produce "good tenant pool" tenantsProperty profile: type, location, configuration, rent range which the target tenant pool is willing and able to rent and is profitable.Investment team: property manager, realtor, trades and others as neededCandidate properties: price, ROI, time to rent, crime, location, proximity to jobs, trafficSpecific properties: return, time to rent, rent range, rehab cost, rehab risk, area vacancy rate, proximity to jobsLOCATION RESEARCH:City economics: https://fred.stlouisfed.org/categories/27281Neigbhorhood breakdown: http://www.city-data.comNiche ranking: https://www.niche.com/places-to-live/search/best-places-to-live/Property taxes: https://www.fool.com/millionacres/research/property-taxes-state/Property insurance: https://howmuch.net/articles/homeowners-insurance-rates-2020CORE 4:Team members that is especially important for OoS investments are Realtor, PM, Lender, Contractor.

(they aren't giving us credit for the deal being an income-producing MHP, therefore the value they base their loan on is severely under what it should be).  

On the other hand, even with average numbers flip should produce at at least 20k+ in profit. 

Putting 20% down will reduce your monthly mortgage cost and produce cashflow more quickly.

Set my two properties on a new glide path to produce better cash flow and in a position to pay down the balance faster and leverage the equity for future investments and purchase another rental property in the following year?

Markets with good cashflow don't appreciate as well, and markets (like Socal) that appreciate well don't produce as much cashflow.

However, don't forget about the income that the property itself produces. 

My plan is now to generate income producing properties.

Check your lease.It seems to be a judgement call if he produces a $5,000 receipt.

Despite the headaches, it continues to produce cash.