He thinks if someone is being sued for what appears to be related to mold, it would probably be for something else.

With making an owner's draw, it appears this might be opening the window for this?

I do like to start with open communication but if a tenant does not appear to be interested in coming up with solutions I recommend using an attorney right away. 

These are the properties we see investors have the most success with (some quitting their day jobs from the cash flow).Purchase: $80k-$130kRent: $1200-$1500ROI: 10-14%Cash flow: $250-$350/doorAppreciation: Double digit (for past 10 years, will gladly send data)Location: C+, B- (suburbs and certain markets)We have over a dozen Fortune 500 companies just in Metro Detroit with huge Healthcare, Auto, mortgage, Amazon fulfillment, and more jobs.The bad reputation comes from OOS investors wanting $20k D market properties where the condition isn't what it appeared to be and/or the tenants never pay rent.

They have experience with investors as well and owner occupants.The team is happy to make minor revisions to plans or even work with buyers to develop new plans within reason.One thing to note is, in texas there does not appear to be a single modular company that does more than one story.

However this appears to only apply to residential properties.  

The bathroom in the basement was already there and likely done with permit. according to the parcel municipal documents, it appears there. 

Your fact pattern appears very encouraging and positive.  

I think of Joe Asamoah with the Section 8 strategy deployed in Washington DC and keeping tenants for many years (even decades), but maximum reimbursement appears to be $3,740 for 4 bedrooms and market rate family tenants will likely turnover every year or two as they would likely be looking to own in the area.I think rent by the room (students or university professionals) would be the best way to cash flow the property while paying off the mortgage.

Unless you threw them out, it appears they repaid your kindness by moving and generating a turnover.