I purchased a brick home foreclosure and have just cleaned it out and gutted the inside of it (it needed it).

If that's the case, you can't do any renovations until you have it professionally deleaded or it would be flagged for Unauthorized Deleading and you can get fined and the property would never be able to get a Lead Certificate, only a letter of Environmental Protection that states you did illegal work, got caught, then had to pay a professional to clean up the mess.

My aim would be to financing via a 203K loan (I do believe it will qualify), rehab the property (adding another bedroom and as much add-on sqft as we can, and after cleaning up the lot, subdividing it into two .45 acre parcels to either sell at a later time, or develop and place another property.

Cleaned up the place by removing all the junk ($500) and running an ozone generator in it for a few days to remove smoke smell.

BUT if you can't see yourself doing that and if all the women in the family are going to create merry you-know-what if you do it, then take a deep breath, apologize to your wife, kids, and grandkids, and let it go.     

Tell her the deposit will be returned after she has vacated and returned the property clean.

When they got in too deep, they stopped paying on the first's letting foreclosure proceedings start, but still collected the land contract payments.

Several large deep pocketed institutions like Blackrock (Invitation Homes) 83K+ homes, American Homes 4 Rent 52K+ homes, Amherst, and others swooped in and sucked up foreclosed homes by the thousands. 

I need to be fairly close to the DC metro area, so I'm hesitant to go too deep into Arlington.I hear you on condos lagging in appreciation and I also need to make sure they're rentable after I move out.

Cleaning fee=150x7x12=$12,600Gross Minus Cleaning Fee = $87,400365x80%=292$87,400/292=$299 Average price per night over a one year period.