Yep I echo a per property reserve. 3-6 months or whatever makes you sleep well at night is my oft repeated phrase. 

If you decide to just sell the property as your primary residence, you could qualify for a partial exemption of the tax due to your employment situation, even though you haven't lived in the property for two out of the previous five years of owning it.

Anything around $30K or more usually fits in the budget better under a COR.A Cah out refinance also put liquid reserves/Cash into your hand or into checking/saving and can be used for PITI "reserves" or assets required by most banks/lender to buy more REI properties and a Heloc can NEVER be used as an asset or PITI reserves.

I would also make sure you have plenty of reserves. airbnb arbitrage is not exactly what I'd consider passive.

After that start building massive cash reserves and start flipping with cash.Has anyone dealt with anything like this and found resolve?

So, give them money to move.Bought for $157,100.38 ****** ARV$245,000.005 bed 3 bath – Phoenix AZThese are the numbers from the HUD statementBought for $157,100.38 ****ARV$245,000.00Existing Loan Amt Payoff $118,145.37*Subject To$118,145.37****Closing Costs From HUDTitle$1,045.00Escrow$1,400.00County Taxes$538.38Recording Fee$120.00Cash to seller$10,000.00Misc other charges$525.00Total Amount Due $$13,628.38***Arrears To Bring Account DueTotal Number of Missed Payments:11Total Payment Amount$10,095.47Unpaid Late Charges$146.84Additional Amounts:Foreclosure Fee/Cost$354.19Unpaid Advance Bal$1,101.75Total Amount Due $$11,698.25***FHA Loan Mod 2nd$11,582.44***My Out of Pocket$36,909.07***Total Cost Basis of Purchase$155,054.44ARV (After Repair Value)$245,000.00Repairs Post Purchase$ 5,000.00 +/-Unrealized Profit$84,945.56***Equity (ARV minus Subject To payoff)$126,854.63***I strongly recommend having 3 months reserves as follows:Monthly Mortgage$917.77(Taxes included)Electric Monthly$362.21Water & Sewer Monthly$102.80HOA – None$0Reserves3 months mortgage payments @ $917.77 per month = $2,753.313 months Electric payments @ $362.21 per month = $1,086.633 months Water payments @ $102.80 per month = $ 308.40 Minimum Reserves Total $4,148.34Then I turned around and sold it to someone in CA on a Lease Option for $265,000 getting $20,000 down on a nonrefundable Option fee, and rent of $1,900 a month.

A cheap property in a bad area will have more of both, and need more reserves.

Should expressly terminate the AOS reserving Seller’s remedy for buyer default.

I also understand PadSplit/room-by-room strategies and how underwriters view leases, reserves, and exit plans.

Once the leases expire or within a few months of expiring, I'd look to renew the residents you want to renew.