Great information, I am a regular guest on the radio show of the people that helped put that together (Bill Knapkik and Stewart Title)... 

Hey everyone,I have been interested in buying this duplex in my town but since I do not have a lot of cash, I have gone the FHA route.

I did finally end up going the TK route back in 2012, and haven't regretted it yet.  

And how is short sale comparing to regular one with tenant occupied? 

You can take sole ownership easily with the route you suggest, taking a quitclaim deed from her to you.

With pictures to prove it.These are what the the Property Management company is charging:Carpet and tile cleaning $155 (specified in the lease - not disputing)Cleaning $96 Touch up painted interior walls and Trim $135Replaced burned out regular and vanity type bulbs $19Cleared clog from front bath sink $25Replaced bad stove top burner pans $27Replaced bad outlet plate $4I believe that they should not be able to charge a separate cleaning fee (#1 because we cleaned it and it was rent ready, #2 they already charged a $155 carpet and tile cleaning fee).

I talked to all the contractors on a regular basis which allows me build great working relationships with them. 

The young couple paid regularly and then paid off the loan after two years.  

Do you think this maybe a good route to go.

Right now it seems like FHA would be the way to go because I would have more available capital for the second property, but I was wondering if anyone had any experience going the FHA route.