Experience is a critical component.

The land trust has three components, the grantor, the trustee and the beneficiary.

The management company should have a clause in their lease which defines who lives in the unit (by name) and the total number of people who can live in the unit.

As I understand it, remediation requires completely gutting the house down to the studs and replacing all of the drywall (pretty much every wall and ceiling), in addition to replacing any electrical wiring and components with corrosion caused by the drywall.

Have them point out what different components cost (roof, HVAC, plumbing, electrical, paint, flooring) and what to look for to determine if they need fixed/replaced.

Define your goals and step up the networking at the REI meetings.

I would define local as within 2 hr drive.

Now, how much loan balance remains on the OP's first mortgage is definitely not going to be 190K as the OP posted - 14 months into a 30 year loan, hardly any of the loan balance has been paid down since interest is the biggest payment component in the earliest years; somebody else posted a more correct loan balance of more like 201K and that is what I will use here.  

Andy, Are you saying the water is charged to the tenants as a component of their rent?

I would donate 10% to my favorite charity/church.I would pay off any personal debt that I hadI would add to my emergency fund to have a minimum of 8-10 months reserves The remainder would then give me my foundation for determining which direction to invest and I would prepare a shortlist of my Top 3 prospective investments and then research each of them and their attributes and pick the one (s) that meet my defined goals the best.