With my current real estate agent and my driving local neighborhoods I stumbled across a family in NE that was looking to sell their 3 family home and had a realtor that had not posted it on the MLS - luckily my RE agent knew their agent and facilitated the deal before posting on MLS and I purchased at a low rate (considering).With all that being said, the area is expensive, you have to know what you want : meaning : property type,location( so KEY), price range, condition and profitability.

I'm considering renting it as a SFH through Nomad (property management company) that can guarantee rental income for 2 years for a 5.5% fee and have given me a rental range of $2700 - $3100 ($2700 is the guaranteed floor, would be $2550 net).

I am fairly confident I can rent this out on AirBnb for around $120/night on weekends during warm months and $80/night midweek and get a fairly decent income from it - I'd estimate conservatively being able to net $1,500/month on average from May - September and $800/month October through April (would love to find monthly tenants, but acknowledge that won't be at 100% capacity during off months).I put in an offer for $40k, which is what I feel like the house is worth in its condition and location - there are a lot of houses in similar condition but with more square footage (this guy is just 650 sq ft) that have sold in the $20k-60k range in the last year.

@Louis Jeffries : I am going to look into getting a BPO ASAP.I looked at Zillow, etc.. but there is a pretty wide range on the estimated value.

So if historically the area has been renting in the 900-950 range but now inventory is low, you may be able to get higher rents and therefore actually cash-flow (if you had the whole thing rented). 

Often properties in this price range have repair totals that exceed the value of the property. 

I heard you have to pay in the $10k range for their expertise and coaching. 

To drill down further, if you find yourself with a dishwasher, built in oven, over the range microhood combo, pull them.

For Real Estate Sales Persons license - Yes content is sufficient and prepares you well. 

Though I have a promissory note and a recorded second mortgage, the current value of the property is not sufficient to satisfy the first lien holder and my loan, therefore foreclosure will result in locking in my loss.What options, if any do I have to recoup this six figure loss?