We'll keep doing them if we can make them work.I suspect the deals under $75k are so profitable because they are such a pain to get financed... once you get in the deal access to the equity seems limited.So it's a problem I didn't expect, great credit and a good job, real estate exp.

Having no money "if something goes wrong" could put a quick and painful end to your investment career before it even really gets going.Option 2 sounds much safer there's some "free" money involved.If I've learned anything in this business is not to get too distraught by missing out on a property.

Other things:   I've done the 203k loan process for 2 of these so I have that painful experience I can speak to.  

However, it was painful. 

I assure you it felt painful to let that money go, but if it wasn't for him I know for a fact I wouldn't have made $30,000 for myself. 

I think after reading the response from @Steve Vaughan (as much as It pains me to admit it) it does make more sense to cash her out ASAP.  

This will be a pain at the end of the year when you reconcile and when you try to file your taxes.  

This might ease your pain a little bit in the process, streamlining some of the work. 

He likely knows it's going to be a pain to sell that many at once, so tell him why you're the right person to help.

If they say jump you ask how high because if you decide to be a pain in their butt they hold the power in most situations.