Tell the tenant you do not control the HOA and she should document any harassment and maybe consider involving the police or maybe getting restraining orders.  

While in the peak of the market they didn't care about price, now many are becoming VERY sensitive.

Some folks are just more sensitive to it than others.  

This is very time sensitive so you must act quick.

However, there are a number of sensitivities involved:The property is currently leased and the original wholesaler has the 'keys to the castle' so we can't get this other developer in without the permission and watchful eye of the wholesalerWe would like to avoid double closing since we intend to assign this contractI was thinking that the cleanest transaction may be to to simply create an LLC to take the original contract down and then sell the membership interests thereto (on the same day but directly before settlement such that the transaction is funded by the new LLC owner).

Next buyer might not be so sensitive.

You will be adding to the expense, compliance and overall brain damage with any adjustable rate note, I suspect this is not in the big bucks where the investment would be that rate sensitive for either party, I wouldn't go there on this one.

So husband/wife or boyfriend/girlfriend that have repeated domestic issues with police involvement then the landlord not only has the right to ask them to vacate or evict but in most cases the legal obligation to do so according to many municipal ordinances.If a tenant is being abused by an unwelcomed individual (have to let landlord know or restraining order) then the tenant cannot be asked o leave on that basis or evicted.

When we set it up, we just had them come to our house, they verified we had a paper shredder (for disposing of sensitive docs) and a locking file cabinet (for storing sensitive docs), that was about it. 

There is not so much time-sensitive or high volume trasaction activity with that type of investing, and you may not require the additional flexibility the LLC provides as compared to simply using a good custodian to handle the transaction.