Consult a qualified professional.

@Clinton Davistechnically, he is not a squatter since he was living on the property with his mother even though not on a lease.. we had a situation where the tenant moved out and boyfriend did not. just finished the eviction in 3 weeks in memphis area as well.Reach out to an eviction attorney in Misissipi area for a consultation 

I recommend consulting an attorney who specializes in business and real estate law before making a decision.

Even if you have to pay more for the purchase think about the costs of carrying the real estate while waiting for the approvals  (debt service, property taxes, insurance, maintenance for the in-place tenant) and the additonal finance charges associated with originating an acquisiton/bridge loan and then a construciton loan at a later date. 

The co-op is the one selling it since the original owner didn't pay their taxes the co-op became owners.

I had a consultation with them and have read Tax Free Wealth and think they would definitely be able to help me. 

Let's talk about Capital Gains Tax.

Tenants pay $2350/mo and after the rate increase, this no longer covers mortgage/taxes/insurance.

On top of that, there's a bill working it's way through the state to add an additional sales tax on real estate.

That means no Capital Gains, which means tax free.