This is pure negligence by messing with the toilet, then dropping objects on it to boot.

The pure S corp issue that @Jerry W. is talking about is one of those outlier scenarios.  

Some details on the houses:Primary residenceMortgage is a 15 year mortgage (with a 3.5% interest rate), so my payment is a bit higher than if I had bought it as a pure rental.

Also keep in mind appreciation is pure speculation that may not pay off.I would also not place any value on the tenants only the rent.

@Dmitriy Fomichenko Thanks - I am hoping to not have to tackle the AC unit during the initial renovation process purely due to the cost.  

The answer is purely intellectual.....Money.Have your MIL offer cash for keys by telling him she will forgive the rent and return the deposit in full if he will vacate the property as soon as possible and without any trouble.If necessary,offer more money on top of the deposit return to help him pay for moving and into another place.This clown is a ticking time bomb with nothing to lose and will destroy the property if challenged harshly so tell her to smile big and be sympathetic to his divorce troubles and help him get the hell out asap.

Make sure to open a bank account purely for your Real Estate.

I'm hoping to learn more mainly about:* Out of state opportunities for pure investment.

If they can't tell you the relevant statutes (aka send you the citations or documents to read yourself) I personally wouldn't put too much stock in their advice.Since, like me, you have the joys of being commission based (I'm an investor-friendly agent) you know that you need to pay estimated taxes quarterly.  

The appreciation will help your ROI during the slow months, and since its not purely a travel based economy long term outlook is good.