Self directing is simply a different business model that allows for a broader choice of investments.  

Like all choices in life, there is compromise.  

The area it is in has no other choice than increase in value, and any monies I will invest will get a decent return now in today's market.  

It turns out that because i purchased a multi family on a FHA loan last year this property will be hard to finance with a traditional mortgage since i'm almost maxed out (Income to debt ratio).

My choice is to be happy, healthy and have enough $ to do anything I want when I want to.

Co-signing is not something one should do, I'll join as a co-borrower but never as a endorser or  guarantor in that traditional sense. :)  

I like Kyle's idea of speaking to the other owner so that there's always a perceived "other party" to contend with.As for getting reliable people, outside of the traditional routes of finding tenants, you can also ask to post ads at the places of business that your most reliable/responsible friends work.  

I'm in Tx so your laws may vary and I'm not an attorney:You have a choice to severance the mineral estate from the surface estate. 

My thinking is if its that hammered and the sellers perception is they have no choices but me..... well that will be a great negotiation!

The tenant only has the choice of buying the home at the agreed at price of the option contract or loose his money at the end of the contract.The rent is a separate issue as you mentioned.