Do you have kids? i.e. are you tied to schools and bedrooms?
If not, you have about $200k of equity, right? Buy a $200k condo with 50% down, use the other rest to pay off debts and as a financial cushion.
You should end up with $200 taxes + $250 hoa + $450 loan + $50 insurance. Under $1000/mo nut. Maybe pick up another rental property somewhere to further reduce that if you can put 25-30% down.
