Failure to do these two things results in being thrown out, and having their slight belongings thrown out.Then they are homeless and must couch surf with friends until they can come up with another deposit of X weeks rent for another similar weekly room situation.The renters cash income may come from a job, or other (extra-legal) means.You will find situations like this in tough neighborhoods, and if Section-8 finds out about it--Mrs-X will be off of Section-8 for some set period of time, and have to fend for herself housing wise.

@Reed BowlingAirbnb's Host GuaranteeIf a guest damages your place or belongings during a stay and doesn't reimburse you, you may be protected with up to $1,000,000 USD property damage protection.

I don't think 7% cap and "stable tenants" belong in the same sentence.

What did they want to do with their belongings while the repairs are made? 

Several of the apartments were completely trashed and filled with garbage and left behind personal belongings.

Maybe they call those $1500 monthly payments toward the purchase price and not rent...It is very possible the 2018 contract is still valid since neither of you cancelled it and they have been paying rent under the assumption the original contract will get executed at some point.If you're happy with it as a rental, have them sign a lease and a contract stating that previous sale agreement is void and any repairs/upgrades done belong to you and no reimbursement is due to them.If you want the place sold, expect hell from them if you try selling it to anyone else.

Our lease states that we strongly encourage tenants to get renter's insurance and makes it clear that if something happens, we are not responsible for their belongings.

So if you’re fortunate enough to win a tax deed auction, but the home is filled with original owners personal property, if you can’t get a hold of them or they do not respond what do you do with all that personal property that does not belong to you?

Cash out refi will be the best bet if it's going to be long term debt that you pay back over years, HELOC will be best bet if you're going to pay it off quickly. 

At the same time, I shouldn't need to pay an attorney $1k+ to evict someone on a MTM lease in my own primary residence, lol.I also don't want to resort to putting their belongings out on the porch because there is SO MUCH STUFF...