Perhaps, but the market can remain irrational longer than you can remain solvent.

Remain professional and polite and treat them like you are renting to them for the first time (you are).

Has anyone wholesaled a property with extensive fire damage, leaving only the foundation remaining?

Of course overtime this would change, but this would be an accurate way to look at the marginal difference until your remaining principle actually dropped below 20k.

I would like to roll half of that equity into the new property and use the remaining part to pay off my car loan of $25k, thus reducing my debt to income ratio.I know that if you invest your equity into real estate that you do not have to pay capital gains tax on it.  

Poor areas tend to have very high cap rates (why they're appealing to certain investors who are not so risk averse and wise yet ;), but remain questionable whether you'll ever achieve that return with a C-D tenant base.

In this example, I have a property with:$40,000 remaining on 1st lien with 10-years remaining of a 30-yr mortgage$75,000 agreed purchase price$35,000 differenceSo, I assume debt service on the 1st lien, but would I then make the set payment for the remainder of the note period?

Shalom to all.I did a quarterly inspection to one of my properties yesterday and while I was there, the tenant informed me that the third person on the lease for said property (3 people used to live there but one moved out without taking there name off the lease) comes and goes as she pleases and threatens to call the cops (can legally do so) if not allowed access to the property even though she doesn't live there anymore.I've dealt with similar situations before by having them sign a lease termination form, since the remaining tenants can more than cover the rent.

No mortgage on primary residence.If they add all monthly liabilities to the debt side of the equation, I need 2-25 as much on the income side of the equation to offset it to remain with a decent DTI. 

Live in the smallest unit and manage the remaining 3.