I am also sure my student renters dont use them, no issues.

The regulation specifically states that this exception may apply to a portion of a home used to furnish lodging to tourists or to long-term boarders such as students (if that portion is regularly available for occupancy by paying customers and the owner is not treated as using that portion as a residence during the tax year).

In my case, I actually under priced my extra unit when I started out because I was told by everyone that students wouldn't want to live west of the 110 fwy.

On the other hand, the rental market in Boston is fairly secure in contrast to some other markets given its proximity to universities (student housing) and being a hub for young professionals (millennial renters).This isn't to say you won't make any money in Boston, but rather you won't have much positive cash-flow until mortgages etc.. are paid off.

I also have a really good friend who does inspections who will let me know otherwise.The only thing that scares me a little is that school starts at the end of August and most of the grad students will have places to live by the time I close.

UofH grad students in residence) so there is not much managing to do.

Also what form must these visiting students have from the government to confirm they are here legally? 

Rent is $400/bedroom for 2-4 bedroom homes rented to students.

The most important things for you to do is to get some good training, be consistent with your lead gen/prospecting time, and the have the student mindset, always evaluating and getting better.  

You might consider Niche or Specialized Housing like student housing.