It's going to be really tough to use those retirement funds if your looking for cash flow in your hand.I do know of a couple of condo's in that price range, in Tempe/Chandler area that the seller is willing to carry the note with 20% down.

Thank you for your input.Some further clarification:  I may have mis-used the word contractor to mean an autonomous skilled worker who does the work themselves.  

A co worker told me to read Rich Dad Poor Dad and that it would change my life.

If the seller is willing to pay the difference then it's not a short sale but it's a little tough to make that happen so that you make a profit that's literally coming out of your sellers pocket.

This REO got me thinking a bit so I did some research on BiggerPockets about REO's and feel that although banks are tough to negotiate with if you approach it the right way you have basically the same shot you do with a private sale.  

I dont think there are any banks that would give you 100% LTV, think about it from their end- what security do they have that you will preform if you have no equity in the deal, if things get tough why would you take money out of your pocket if you have no equity, why not just default and walk away.Also if they do have to take back the property they want assurance that they will at least be able to get their money back, which would mean they would need to be under the true value because there will be broker commissions, transfer fees, ect associated with the sale of the property. 

I know the money directly adds to my local economy, feeds construction workers, even Realtors, pays the bills and provides a living for others, from the dentist to the driver of the garbage truck.

Tough to answer without knowing if there is any equity in the property, but 600 a month sounds like it is uncomfortable.

Here's an idea - send out a survey to friends, co-worker, and family to see how many people would not mind living on a busy street.

Ive been trying to get into some homes Im interested in, but am having a tough time getting a Realtor to answer the phone, call back in a timely manner, or be willing to drive across town to show me their listing.