After pm forwarded my case (tenant did not pay rent) to collection agency, the judgement claim balance is $7,569.33.

You still have a few options in terms of acquiring the home.If you own a primary home you could do a cash out refinance pay off or down all of your debts.

We have $95k equity and our mortgage payment is $1400/mo to pay down an additional $174k on the mortgage. 

I do understand the draw having a tenant do this service and save some money, but sometimes paying the extra cash if worth more in the long run.Good luck,Noah  

@Najeh Davenport so you paid cash but you still have the heloc to pay.

I have to pay $2000 a month on interest only.Do I need to get permits for all the work needed in it?

I've heard too many horror stories about people that pay cash for a property because they think they are getting a deal.A moron of an owner could see they could get a much higher price if they just put in the exit signs (etc) and then sold to someone with a bank loan. 

Assuming that no debt is involved, Is paying that cost necessarily better than paying the tax on your long term capital gain in the property?

You have a week and you have the cash to pay all the debts?

It could be any side-hustle you want just as long as you like it and your able to save some extra $$$.2.