You'll be fine otherwise.

Leverage is fine, if it's utilized appropriately.

I've had projects like this where it went fine for a while, was almost done and then we get into some disagreement and then I fire them on the spot and just pull someone else in to finish.

.- Non-refundable EMD: For the most part, we are fine with this provided we receive marketable title.

This has been discussed alot on here.Some people seem fine with no cable.I have nice vacation rentals and provide an easy way to watch live sports, news etc.I provide cable channels or you tube TV.In my listings I state up front that I provide cable channels because I'm not cheap that if other people won't provide this what else are they cutting corners on?

For LTR, your price point is fine for SFH in the Midwest in many states, but you would be better sticking with LTR and not trying to STR.

That's fine as between them but the lender is still going to hold both liable for the debt if the payments aren't made. 

There has to be an account in the middle for repairs, renovations, etc. and you want to know how that will be disbursed and if you need a workflow between you.If you decide to do it, just start small with an asset that is as close to can't lose as possible so you can fine-tune your collective process.

As long as it is your primary residence and you aren't renting it out when you are not there, you will be fine.

It sounds like she did not follow the proper procedures and probably didn't follow the law.You can only issue fines if it is in the lease.