@Joe Villeneuve That is one of the best, simplest explanation on HML that I have read.

In simplest and rawest form, you could have just a deeded interest split among the three parties (e.g. joint tenancy).

You could just allow the buyer to pay these items and provide proof of payment as required which is the simplest way, but;Under a standard deed of trust, the failure to pay may not be a sufficient breach or default to foreclose and the lender may need to advance funds required to pay such items and add the amount to the principal under the note, with interest.In the event of default, there would be no funds on deposit to attach as an "off set" to pay taxes due to date or reduce the loan amount.

The simplest thing is just to use the income from your rentals to fund your contribution to your IRA.

This is the simplest method, but it also means your tenants are more likely to abuse the utilities by leaving windows open with the heat or A/C running, leaving lights on, ignoring the toilet that constantly flushes on its own, etc.3.

This is the simplest method, but it also means your tenants are more likely to abuse the utilities by leaving windows open with the heat or A/C running, leaving lights on, ignoring the toilet that constantly flushes on its own, etc.3.

That would be the simplest and cheapest fix to try before moving to some of the more expensive options. 

These people are missing the most important ingredient for Real Estate investing which is passion and probably money. 

Maybe my question is then: what's the best and simplest way to structure this?  

And the simplest interpretation of the facts you presented is that you were willfully lied to multiple times.