Can i spend 60k today and receive 1000k a month in cash flow, or could I take a 40k capital gain and use that infusion to purchase 1500k a month in cash flow with minimal leverage?

You can't make money if you have a 50% vacancy rate and a 50% vacancy rate indicates a serious property management problem.God Bless You!

Accepting that and handling it from the empowering position of, I made this choice and accept the problems associated with it and will work to minimize them where possible, can make it so much easier for you.  

As a ray of insight, larger trades will sometimes invite more than one indicative bidder into due diligence and actually refund the cost of due diligence if that bidder does not win with final price.If you are a newer investor, I would suggest you stay away from these types of trades.  

We try to negotiate down to minimal amounts just to secure the contract.

A quick glance indicates its very informative.I listened to a couple podcasts by J Scott and I've spent hours on his blog.

@Will Barnard - this situation is indicative to why there are 3 trays on my desk for deals:1.

Not ideal but for those without bank accounts, it's the only way to do it.The last means of delivery I would trust would be the USPS.The goal is to minimize your involvement in getting money from the tenants hands to your bank where you can spend it.

When they indicated it was fixed during the due diligence of the property, did they provide proof (e.g. an outside vendor invoice and what was performed)?  

That way you are paying a minimal monthly fee rather than paying for a bunch of stuff you don't use or need.