In my case, I opted to pursue markets where I had some knowledge and some existing connections vs. trying to find the best market and build a network from scratch.  

Something seems off but we do not know the terms of this 72k note…….. your potential proposed structure of paying the 53k down , what would that do for him anyway since unless the loan is going to be recalculated to lower the payment, the payment exists ( and I’m assuming its small) which does not explain what the stress is from it.You say the owner is motivated.

You could transfer your existing IRA to a self directed IRA or Solo 401k and invest in real estate (or anything else the IRS rules allow for).  

All the cash flow from my existing properties stays in the bank account for each LLC.

When he told me that I don't need to retain my rental application records, I became worried that this lawyer isn't giving me good advice.

"For the record" (because we are in Forum Court) before you even could get the chance to test my writing, I would never retain you as a client.

I have to imagine a few active groups exist there.

This favors the conventional loan because when you refi down the road, you'll be stuck in the interest rate environment that exists down the road, whereas you'll keep today's rate with the conventional.  

They exist and probably do in a surprisingly large number when you look at the whole state. 

Sometimes the existing tenant is neat enough to do showings while they're still there.