A part of me would like to bring them up to market rents right away but then I risk the chance of one of them leaving and having to deal with turnover right away.   

On the other hand, I’m young, I have a good job, now is probably the time to take risks and try things.  

I think it is more the risk of the lack of an exit strategy.  

They understand that the project may not make money and are willing to take that risk. 

They now fall under the domain of "executory contracts" and have very large consequences for owners and little to no risk for the renters.

My attorney has just confirmed only the small liens will carry over which is minimal compared to property value.

Hi: To All 1031 Exchange Subject Matter ExpertsSo, last year I sold an investment property that carried a debt 800k.

Jose,Here is a list of "hidden costs" that may surprise you if you haven't been through this before:Closing costs when you purchase the propertyTitle Insurance Policies for you (and the lender if there is one)Miscellaneous closing fee's (survey, recording, etc)Loan origination feesHolding costs (during the time that you own the property)Builders risk and Liability insurance policy premiumsProperty taxesHOA feesUtility usage chargesBuilding permit costsDumpster / hauling chargesLoan interestClosing costs when you sell the propertyStaging (if applicable)Realtors feeClosing costs (depending on where the property is, this could be a huge cost) Professional fees for accounting, legal and taxesCapital gains tax on your profitI hope this helps you, and good luck!

Thinking what is the catch, a good way to diversify and minimize risk over owning individual units?

Sometimes it is easier to use percentages if you don't know actual figures but unless you really know what percentage to use, you are taking a risk by just copying what other people suggest.