(A) An owner is not required to disclose the fact or suspicion that a property may be or is psychologically affected, as described in subsection (B).

@Jamie Rost those were some of the biggest factors that jumped out at me.

Written by attorneys, linked to your state-specific laws, full of practical advice, and includes a bunch of forms you can edit and use as a Landlord.

They will factor in income of the property in addition to your personal financials.

PM me if you want to link for that.  

One more thing I just thought of which may play a factor.

You can factor 10% for repairs and CapEx which helps your cash flow.Then Option 1 doesn't sound so bad having all of your money back and $150/month.

Now if I just work off my desired profit of $20k and factor all cost in I can go up to $95k which is what I’ve offered after my low ball initial offer was rejected.

Once i start talking to someone, I do a check for them by their name (literately, 2 seconds--link below)  and can determine what's on their record, and if it's someone I even want to talk to!     

Click on the link give it a read, and share your thoughts in the comment section.