However, it would take her about 2.5 years to payoff the balance.

If done properly you could use both a form of check & balances.

You will be looking for a local to regional bank that keeps paper in house to service the loan.That small loan balance the mortgage brokers almost lose money trying to fund it.1,402 rent for 38,000 is incredible if it's accurate.

Wealthy is a state of mind, not a number on a balance sheet or bank account.I was wealthy long before I was no longer broke.

If you do get it for that price, use the profit as a balancing factor for the disgusting conditions.And also, use oil based Kilz throughout as your primer.

But then when I asked what she owed she pulled out her mortgage statement and tells me that it states her primary balance is $37k with a deferred balance of $57k.

And make sure you know what the real balance is.  

Just take 80% of the value of your home then subtract your mortgage balance.

I have a tendency to over-repair and I'm trying to balance that, but I'd rather over repair than under repair as I do find that it's so much easier to find a good renter quicker, especially when your unit is better than what the competition is offering, it will definitely stand out.Let me know if you end up purchasing flooring, cabinets, etc yourself, I can suggest some  places I've used so that you don't pay more than you have to for the material.  

If the home was reaffirmed, the borrower agrees they owe the balance and must make payments on the balance moving forward.