Be sure to run all this by your securities attorney and provide proper disclosure and documentation to investors.

When we did start looking, we initially wanted a multifamily for the obvious security in knowing if one tenant does not pay, there is still another to cover the mortgage.

They could have homes to sell and/or want to learn the area while gaining the confidence that the job is secure and they like the area ......So, the perfect option is to rent for a couple of years. 

Has anyone done or heard of this kind of security check?

I actually just used this same process to secure a HELOC with a local bank on another property as well to secure the funding to buy the house.

Certain legal structures can help securely and cost effectively own property in numerous states though.Please share here if you have any concerns about how to deal with potential legal liability in multiple jurisdictions.

@Han OoAs @Dean Letfus indicated, you need to consult with a securities attorney where your investment property is located.

What ran through my mind was.... since my property is in a gated community, I would need to contact the association and security to let them know guests are arriving and provide the names.

Certain legal structures can help securely and cost effectively own property in numerous states though.Please share here if you have any concerns about how to deal with potential legal liability in multiple jurisdictions.

Could be properties, loans, securities etc. since you asked i multi-family it will likely be a number of apartment properties.