They need to speak to an advisor about their basis in their equities and their loss/gain position.  

I am not an attorney, nor do I attempt to speak as one, so always consult an attorney.I think most companies wait till the 5th to assign late fee's and offer a grace period is for that very statute you listed.

You didn't speak about cash reserves, whether or not you would have an income outside of the property while going to school, how much you'd be putting down on the property, how you'll fund the build out on the areas to attract students, and if you have any experience with rental properties. 

We typically like our agents to only work a few cities that they know very well.Let me know if you would like to speak more about it.

Sorry for the long post I just wanted to get some feedback before I speak with an attorney.

You should speak to as many TK operators as you can! 

Speaking from experience, it is precisely as John says, making the work far more manageable for the contractor if a particular phase can be focused on, and with the ongoing cashflow by way of draws it helps to eliminate any potential issues with the guy "running out of money". 

Generally speaking SFH are more ideal and easier to resell and rent in my opinion.

Again, I would speak with your accountant.

You would need to speak with a mortgage broker to see if this can be done via traditional loan.