Any good recommendations for the collection agency or any way to get the money back from the tenant or any way to report it to the credit bureau?

To address this, the lease will clearly state that any credit will be returned at the end of the lease term.

Instead, it works like a credit and goes toward some of your upfront costs.

On the flip side, if you've got a bunch of Section 8 tenants living in a building that's in a neighborhood where a lot of the tenant base has good jobs, high credit scores, and are generally reliable people, you've got the most risky tenants in that tenant base and that ain't what ya want.

So the seller cannot go get another loan for a car, house, apartment, etc. so it damages their credit by stretching them too thin.Am I missing something? 

Now 3 of the 5 taxing authorities give a credit for doing them on time which can be as high as $150 savings for me each month and I am not sure I would get that using Avalara.

@Vinny Muli - it is VERY hard but not impossible to get an equity line of credit on a non owner occupied property. 

No Bank, Credit Union or Portfolio lender wants to foreclose on any loan if there is a way not to.

I also have a $50k line of credit I can tap into when needed that will grow as I keep growing the business.Right now my rent is about $1700 where I've been staying for over a year, but really wanting to trade that for a mortgage and start building that equity.

I don't think he would allow someone that had to put the fee on a credit card.