We are proud of the choices that we have made and continue to make day to day decisions to live well below our means and invest a large portion of our expendable income into our futures. 

I would budget 7% or higher for that portion.

I have enough home equity, but I was stupid and asked for only a small portion of my equity. 

The portion of income attributed to your personal job or salary is the definite portion of your purchasing power but that rental income estimate is and will be the variable factor.

Today I was informed through the fraternity that the university would like to replace me with a full time employee who would oversee multiple fraternity houses and that the university would like this person to move into my apartment portion of the house in the next 4-6 weeks.

If you can withhold a portion of payment until he has completed the project - then talk with him about the damaged material. 

Except I dont see a way to make the Refinance portion of it work.Any suggestions are welcome, and please PM me for more info if you need it. 

Equity is the portion of the property value that belongs to you. 

I hope it is as simple as the rent received, the operating expenses, and the depreciation would all be on the financed portion of the house, ostensibly 50% for the 40% down 10% reserve I described above.

@Scott ElkinsHave you considered looking in the southeast portion of Colorado?