Your eval process has to overcome that.

What can a NEWBIE do to overcome this? 

We were not affected adversely by the sub prime loan mess as many parts of the country were.

However, even the best of brands pre HUD or HUD cannot overcome years of deferred maintenance or abuse.In a park I developed in Florida with 24x60 first year HUDS, all but two of those 600 homes were still fully operational in 2005 and owner occupied.

For a developer the question is how to give the buyer what she wants in an enviroment adverse to change.  

This is probably not practical but perhaps adverse possession.

It sounds like you have already overcome one of the greatest hurdles new investors face...you've already gotten off the sidelines and bought your first cash-flowing rental property. 

However, life has taken an adverse turn.

Just remember...you can over come anything as long as overcome yourself!!!!!

Those that train themselves to think of adversity as a challenge that can be solved with time,effort, and knowledge will have a better chance to succeed.How many bandit signs did you place?