My wife and I decided to remove all the radiators and convert to forced hot air furnaces with central air.

Everything else is relatively low cost compared to upside "forced" appreciation. 

This has forced us to move out of our apartment into my mother's basement so that we can cover the cost of the mortgage.Once this family member moves out we'd like to move in to do some renos.

I have tried several commercial lenders in town, but they all seem to want to force me to have skin in the game. 

You don't know if the applying tenant will be a good paying tenant, if they will cause trouble or just in general be a pain in the backside.Can you be forced to accept a tenant with an ESA if you have an existing tenant with allergies?

If they force appreciation by fixing the property up, it becomes worth more at market value.

Not sure if you situation would allow for some global forced appreciation that could push the deal over the top for you.

Underlying economic forces lead the continuing rise in home prices: Demand exceeds supply in most cities, especially for entry-level housing.

I would say you could find a decent asset with a $50K budget, keep at least $5K in reserve for servicing fees, force placed insurance, property tax maintenance and possible foreclosure expenses should the borrower not be able or willing to resume their payment performance.

Plus it gives me a greater opportunity to force equity appreciation.Just remember when you make your offer that you must consider what your all-in costs will be.