Sure if there is enough margin to cover both mortgages.

I spent one weekend reading the Arizona landlord/tenant laws cover to cover and definitely think it was well worth my time.

If you're at 75% or less, you should be able to get long term money, even if it's alternative - 30 year ARMs at rates in the 6-8% range, as long as debt service works (rents cover PITI).The other one seems doable too, if same type of deal w/no work. 

. $533 is not enough to cover OpEx, CapEx, Debt Service, and Profit.

The property has lots of character.I am hoping to provide some pretty pictures soon. 

There are a number of short term interest only products that will only cover the purchase price but those rates are typically still going to be a bit high 

I ended up putting about 20% down and then offered her an equity split on GROSS earnings for 2 years to cover the rest.

The elimination of the mortgage payment (added CF in your mind) isn't enough to cover the out of pocket cost to you.  

Evidently there is some old damage where it was treated a long time ago in 1995 (the pictures in white) according to the owner and then an active spot by the garage door interior. 

Paul forums will get you more responses, so maybe re-post this over there.1) I'd advise adding a picture to your profile and filling it out a bit more- easier to have conversations (even on the forums) with someone when you can picture yourself talking to them in real life.2) I read your strategy- glad to see you've put some thought into it!