If the numbers make sense, you might want to explore the options of updating the apartments one at a time so they a) won't need so many repairs and b) you can raise the rents. 

If you sell the property for $175k, you put $115k in your pocket, instead of $75K.The above doesn’t work as neat since mortgages are amortized (usually) and treasuries pay interest only with principal due back at bond maturity.  

As it stands now I feel more comfortable with the second lender and I'll be moving forward with them instead of the first option local bank.

Typically higher down payment and higher interest, but an option nonetheless. 

your other options besides eviction is to get an emergency contact and contact them about the situation. 

There isn't going to be much of an opportunity to improve the value of a new build through a remodel so unless your discount is something along the lines of 20% or better, this may not be a good fit for the BRRRR strategy but that doesn't mean that it isn't a good opportunity for a different strategy.Just thinking out loud, maybe it could be a good fit for a lease option or rent to own play.

Hi Bigger Pockets!

Everything was repaired/replaced out of pocket, without insurance getting involved (this is CA).

Junking back here to see if there are any HELOC options now?

Hey Rafael, Welcome to Bigger Pockets!