Giving people the chance to learn and experience what they may not have the chance to do as well as helping out a charity, I've never heard anything like it.

@Andrew Kleiner First, it would be good for you to decide if you're running a business or a charity....or a mixture of both.

Otherwise, someone decided that you'd be a charity for them.

Be compassionate but not a charity.  

Under the "Howey Test", a transaction is an investment contract if: It is an investment of moneyThere is an expectation of profits from the investmentThe investment of money is in a common enterpriseAny profit comes from the efforts of a promoter or third partyIn other words, if you are putting together a deal in which people are investing their money (rather than donations, or contributions to a charity), and the money is "pooled", and the only way your investors make money is from what you do as the "Promoter"/Deal Maker/"Sponsor", than it probably is a security, and it probably needs to be registered (at the state, and possibly Federal) level.On the other hand, if you are getting a group of people together, and your are jointly putting in money, and "other services", and equally sharing in decision making (so it's not "all on you) then it may not be a Security, but is more than likely, a Partnership.  

So it sounds like it was really just a charity endeavor the past decade, because even if you collected expenses and never did a repair (who paid for the roof?)

You're not running a charity or a halfway house. 

Aloha,You are just asking for headaches...or are you planning to run a charity?

Though they are then making you operate as a charity for charging less.) they should stay.

@Ashish B. sounds like you want to run a charity and not a business.So, you may want to find a charity forum to ask for guidance.This is a business forum for real estate investors.