If one person stops paying and it's tolerated, It's more likely to spread within the house. 

Depends on your long term goals, risk tolerance, experience and market. 

I do have a zero-leverage option which is taking out retirement funds early and $30k is tolerable for me.I assume you know but you will pay a 10% early withdrawal AND pay ordinary income tax on that 30k.

Doing nothing may be correct for one person, and engaging in a complicated entity structure may also be correct for another person depending on the situation.Each real estate investor/professional has different risk tolerances, different levels of savvy, different abilities in terms of bookkeeping, different estate plans, if one has an estate plan at all, and different relationships.

So many people get what you are dealing with.How you invest the distributions are really a personal risk vs. reward and risk tolerance point of view for you and your family.

Each one has its pros and cons, so find what fits best with your goals and risk tolerance - this is the most important. 

On the flip side to investors , other than the obvious advice to do your due diligence and stress testing seriously, also do the important work of self assessing your own true risk tolerance, ultimately defined by “are you comfortable losing it all” in a particular investment or asset category.  

Balancing job and investing stress requires prioritizing properties and strategies that align with risk tolerance and time commitment.

If you're still living in it, you can rent it out by the room to multiple individuals or even as a live-in STR depending on your risk tolerance & city ordinances. 

Risk Tolerance- We are no longer okay with the risk of having a bad snow season.