I would to use my equity in my current home to start investing but my current property needs work, like a full rehab.

We have many hundreds of 5 star reviews (see the full set for yourself  https://www.trustpilot.com/review/nomadlease.com) that demonstrate this.Thanks for all the discussion and let me know if I can answer any questions!

The West coast one, with full details, is at http://www.wildlandsinc.com/ and they're actively looking for more project land. 

Or just require a full year lease to students?

*Full disclosure I am with Renters Warehouse and yes we do these services.

You're not obligated to take his solution.I would tell Title you expect your full EMD back. 

Consider getting a statement signed by all parties which states that everyone has agreed to terminate the current lease early on X date and all obligations by all parties have been paid in full and that the deposit will be kept by the landlord and will be applied to the new lease. 

Occasionally if they have other assets maybe she can keep the equity of the house and he gets to keep his full 401k or something like that.   

While that may sometime be true, full disclosure to all parties should eliminate any ethical or moral concerns (imo).  

Or did they crash into a zoo full of endangered species?