Further, I think you're saying the original owner also signed a modification raising the 1st mortgage balance without any notice to you, adding $25,000 to the cost you'll have to cover to obtain the home yourself in foreclosure? 

The NOI (Net operating income) needs to be sufficient to cover the payment and some amount of spread.To make the numbers simple lets pretend the payment on the 50K mortgage is $500/month and the 70K mortgage is 700/month (these are likely high numbers) if the rents minus expenses (excluding mortgage) net out to 750 then the 70K mortgage is pretty risky since there is only a $50 spread and the 50K mortgage is much less risky with a $250K spread. if these numbers held up I wouldnt buy the property at all unless I could get a 60K mortgage with a 600/month payment and have a spread of $150 and 10K in cash reserves. 

I think everyone covered what could’ve been said but I wanted to correct you on your statement regarding beginners luck to emphasize that it was far from that.

If you have it already included in your analysis then you are covered.  

Yeah there's still a bunch of information marketers and coaches selling, using and promoting 2 and 3 decades old business models.

This seems like a more affordable way to get into the market, but  I want to ensure all my bases are covered. 

The systems required to manage property on a small level can be covered with hard work and some brainpower. 

Use the VA Loan in 2020 to get that first property, house hack and "learn the ropes"..........and then when the two of you get stationed somewhere else.....you WILL be able to use the VA loan again and by then the two of you will be making more money as she gets promoted and then perhaps in the next duty station the two of you can afford a different place.

Cover the basics first my man...........Go to THAT bank directly and see if you can get them to pre-approve you.

The new receipt helps but if its more expensive than the old TV they won't cover the extra cost.