But, could I minimize risk of renter defaulting on payments for the 2nd property by turning this property into a section 8 housing unit with guaranteed income from the gov't?

Lease agreement:  I would recommend you draft this with a lawyer familiar with the industry, ADA, Commercial leases, etc.2, Insurance:  Review the new potential use with your agent. 

-if they have only limited amount that's approved, and lower than the agreed upon amount on the lease, that means part of the rent is at risk?

Hey everyone, I am fortunate to be able to say that I have two potential options here.

The only catch here is that each scenario comes with its own rules and potential additional costs.

Failure to do so places the assignor in violation of these statutes and provides the titled owner with a potential way out of the contract.

If I were able to obtain another loan for $200K, even at the same interest, I can pay that down and off over a few years, and then I'm back to my low interest loan only and a ton of equity in the home I could potentially tap into as well.  

That's a significant accomplishment.Deciding whether to put money into stocks or pay off what you owe depends on your financial goals, how okay you are with risks, and the interest you pay on debts.

Or what their risk tolerance is. 

I do not want to rent out my condo because the HOA would eat any potential positive cashflow so I am decided to sell it.