It seems like it is a waste of economic capital to have these houses sitting vacant and deteriorating. 

Not the best decision on their part, as it deteriorates some of the protections afforded by their LLC.

If you are able to buy a significantly deteriorated property and force appreciation through rehab, it seems to me you have a better case for refi and more equity to pull and reinvest in the next project.  

Typically when a house is framed it is closed in (or dryed in) so he elements won't deteriorate the interior. 

Never sell unless you are in trouble and desperate for money,clearly you are not.Get that nice rent check and put as much of the profits you can into paying down the mortgage faster or save that profit and use it to put down payments on more rental properties in cheaper states like Ohio,Indiana,and Tennessee.Every Time you save up $25,000,buy another $80,000 rental property or save a little more and get a duplex or fourplex.Keep up the maintenance on the properties and don't let them deteriorate and ruin the values and erase equity.

Will he simply let the place deteriorate around him.People rent because home ownership is far more expensive.

All golden cities have deteriorated and are valued for what they were, not what they are.

To my understanding you have to rip up the floor anyway to repair this issue, which is more then likely due to the poor tile and deteriorating grout job around the bathtub letting water leak down.

They're probably assessing the condition of the decks and they need to get a contractor on your deck to provide the association with an accurate bid and inspect for any deterioration to your deck or damage.

No explanation as to why he had disappeared or let the situation deteriorate so far... just one of those things I guess.