Another option, would be to give them cash for keys to see if they want to leave.I would have side 2 sign a formal lease unless you want to get rid of the tenant or want to raise the rent higher than the $975, or even do some renovations

At that point, you're probably better off refinancing to get rid of PMI, though.

Ideally you would want to identify the what is causing the money being sucked from your pocket and get rid of, or fix that issue in all the units at once.Edit: I would add, ideally, you would want to minimize your expenses.

I am willing to work my butt off, create scary accountability agreements (the one that got me my last deal had a consequence of getting rid of my brand new car in exchange for my father's 13 year old car), split profits.  

You would need to get rid of current tenant, rehab, then get new section 8 tenant to get that rate.

My question is is what's the best plan of action I should take in regards to getting rid of her stuff.

Once you make your choice you make the seller responsible for getting rid of the tenant as a condition of closing.

Meaning if you are buying a propertymake sure you have more than one way to sell/market that property to get rid of it.  

If you can sell now and walk away with a pile of cash in your pocket and rid yourself of a headache you may be better off doing that instead.

there is a multi family home I came across but it has a buried oil tank.seller has positive report about the tank.would it make sense to risk and buy property at bargain price and later get rid of oil tank?