These folks owe the bank $36K and the property appears to be worth no more than $20-30K on its best day.

It is free property management software that allows you to keep track of your properties and receive rent and other expense payments directly to your bank account for free. 

I understand the general concept but I am not comfortable enough yet with the details to accurately explain the positives and potential negatives to my client.

We negotiated this into an owner financing acquisition so no bank financing was involved in acquiring it.Now, we did have to do some work to it.

I created a company a few months back but I haven’t made any deposits in it (doesn’t even have a bank account).

If you only need the funds for attorney's fees, it would be easier to get a signature loan from a bank or a loan on property or automobiles you own.

We purchased our first single family home from the bank at that time, and never looked back!

@Matt Crusinberry Can you explain a little about the master lease route as this is something I haven't heard of but seems like a route that may be beneficial in this scenario.

No financing was used through a bank, this was purely the owner/builder licensure exemption.

Explain that this is a heath issue and ask code enforcement for assistance.In my city, the zoning people would enter with me and if the tenants didn’t adhere, the sherif would be called to assist with removing them.