Then I would fix & flip the property.So, There really are only two options I can think of. 1) Find an "off market" property that you can take "Subject To, on a "Wrap", or a "Land Contract" or a "Lease Option and proceed with either Fix & Flip or Buy & Hold or sell to a Tenant Buyer (my favorite).2) Find someone on the mainland that you can Joint Venture with in a market your finances can afford.Either way, you have to start somewhere.

There may be unique circumstances (people have lease, etc) otherwise, if they don't move / will not move, then you go to JP Court and file for eviction.

Basically I go on Zillow and find homes in the price range (50-100k) and then find rentals in the same zip code and then decide if I can get at lease a $300 positive cash flow?

I have tenants who notified me on 7/1/18 that they are leaving on 7/31/18 even though their lease expires on 8/31/18.

The lease is between my management company and the renter, so it appears that they can charge whatever they want without obligation to pass that fee along to the owner.

I'm working on my first Lease-Option deal and I hit a wall.

This is normally stipulated in a lease under forms of acceptable payment. 

You say the market’s hot, what about considering:1 taking the bank’s option to Convert to a 30 year fixed term, with maybe piti of $500/ monthly (See if they will lend you 75% of the appraised value OR use the purchase price Plus a detailed list of your costs and repairs) , and then2 selling on contract or lease option at full market price+, ie $119,000 possibly on terms.Look for 10% or more down and finance them as long as your loan is for.This would recoup your initial investment, $12,000+ and costs plus profits And give you passive income of what $200-250+ net monthly?

We spent about 5k scrubbing it up and now we have a leased signed for $775 a month.

Your best options for low or zero down is to find a property using seller financing, lease option, or get a private lender.