I would choose to mortgage the property to the maximum and not pay it down, When equity builds keep pulling out the equity to reinvest.

You as an investor, especially in a sandwich lease may choose to record your memorandum of option or other similar document to protect your interest and potential equity in the property, but you're unlikely to record the option with your tenant buyer. 

I, too, have been contemplating about getting my real estate license only because I recently have a newborn child and would like to earn a little money on the side and use that commission for other investments while learning more about the market.Good luck with whatever decision you choose and I look forward to hearing other suggestions and pros and cons from other investors!

I understand you say the tenant knew upfront the wait but if they were in dier need of a place to live and they found a for sure apt can you blame them for choosing that?

What kind of structure did you guys choose and how is it going?

There are tons of people looking for money so lenders can pick and choose.

My question is more what type of approach is more profitable, rather than what type of approach i personally should choose.

Depending on if I choose to rent or flip the house, the rehab could go up or down, but it is in an established & quiet neighborhood with great access to shopping, Costco, restaurants, the Air Force base.

Fall behind on the payments and list it with a realtor that specializes in short sales if you choose this route.Sorry you are facing this.

I try to tell him everything that's essential and he was very involved in choosing the house; even spent his weekends while I was working pouring over the listings the realtor sent us.