I attempted to ask to defer payments until it is rented but the seller will only offer interest only payment at 7%. 

A direct attempt at seller financing will result in taxes being recognized for the value of the carryback note (making the exchange less efficient).

Many are finding that when they attempt to rent the home the following year they may have to cover a portion of the previous home's mortgage as the rent won't quite cover the full payment.

You stated, foreclosed, so it implies the public auction occurred and that the auction now is an attempt by the owner to sell an REO.

This would include any attempt to foreclose on the property. 

I absolutely would not recommend that you attempt to limit who you are renting to based on their level of education.

I would not want to attempt eviction if the evidence was gathered in a manner that could be questioned. 

by including something in your lease stating a tenant is responsible for overdraft fees, even if a 3rd party such as Cozy, their credit card company, etc. performs the attempted withdrawal. 

I am fortunate to be surrounded by knowledgeable brokers, agents and hard money lenders but feel I need a solid plan in place before I attempt to tap the resources around me. 

The only sensible way around this, I think, is to have your properties inspected before you attempt to sell them.