I know hundreds of agents and none of them are accountants.Another point, when I buy a property, I don't buy the accounting system or methods of the past owner, what they did has no bearing on how I carry the property of it's operations.

BEAR :-) 

My first question would be "Are you planning on staying in San Diego or relocating?"

The debt remaining has no bearing on any calculation the bank comes up with UNLESS the debt is less than fair market value and in that case, only the debt is relevant.

The market was clearly bearing your ask.

Bear markets happen, if returns always equaled their historical averages we'd all borrow at 3% and invest at 10% into perpetuity and we'd all be billionaires, straight line assumptions in a spreadsheet don't always play out in reality.  

I’m a totally newb and trying to learn so appreciate you bearing with me.

I am looking to remove a load bearing wall in Philly and I am not finding contractors that can do it.Can someone recommend where I can look for it?

Those investors demanding higher pricing for their capital will be phased out in favor of what the market will bear. 

Down payment % itself won't have any bearing on the actual qualification criteria for FHA.