Add to this a small decline in market value and it can take 5-7 years to recover.  I

So advice to save money and work on your credit would be like telling an athlete they should train before the main event.

You would need to front costs for any Texas attorney, but I don't see what type of damages you are trying to recover. Is

Myth: the last recession was really bad for all real estateMy property values went down 5%, maybe 10% max and then skyrocketed in value on the recovery. 

Properly depreciating the property requires documentation of what is what: 5, 7, 15 or 39 year assets according to the rules of Modified Accelerated Cost Recovery System (MACRS).

You can read more about what happens from there: but essentially the Commonwealth Court did agree with the Owner old Pennsylvania law prevented a tax sale buyer from "any recovery from the owner of the cost or value of improvements made within two years of the sale...."

A Percentage of the recovery 3.

If they can't get the deal done you now know there is not even enough money in it for the HML to realistically expect recovery of their interest and you should let the transaction go.

How could I ensure they'd pay it back, or have some way of recovery?

I know the sports coaches at the local college and we have only had female athletes in the house.