One other thought:  study 'adverse possession' and see if it might work for you in this situation. 

What will you be studying in grad school?

Study, study, study!

Studies show this again and again - how owners of a home or even as insignificant as a coffee mug value it much more than it is actually worth. 

If you knew the remaining value/life of your existing HVAC units (via a cost seg study), then you could dispose/retire that asset as well (another expense).

@Juan Pardo great point, but I think the study a bit more general, kinda in the vein of all else being equal, someone likes their $60k/yr ultrasound tech job a lot more than a $25k/yr housekeeper at a hotel. 

I have been doing a lot of studying and all of it seems to make sense except for this road block.I have a few questions related to these topics.  1) Are these legal in the state of Arizona2) if they are legal, what is the list of required documents for these types of closings ?

It's a little complex as to be applied properly the study must be done by a construction engineer trained in cost seg and applying the hundreds of pages of tax code pertaining to depreciation.

So, you'll have to find your state statutes regarding landlord/tenant interactions, and study those.  

I'm also doing a little viability study on the possibility of buying a manufactured home (e.g. a trailer park).