The home was custom built in the mid 80's and is in terrific shape, but its now dated and will need a new kitchen, baths, and some walls removed to open up some of the space that buyers find more attract today.

I have seen articles all over the internet that say home ownership is at a all time low and rental vacancies are very low as well.Who still prefers owning over renting for your primary residence?

She signs a one year lease on July 11th and the move in date was set for July 17th.

A loan servicer not only collects the mortgage payments, but the service usually includes setting up an escrow and taking care of tax statements, keeping taxes and insurance payments up to date, processing payment changes and collection services too.Ensure that the contract between parties is recorded legally.

Lucky for your there is a lot of info on HELOC's on BP & the internet.  

Building constructed in 1980Present loan value appx $77k on a 15 yr note with 3.375% interestP&I pmt is appx $602NOI 2014 was $11489NOI 2013 was $5142      (spent around $4k on updates/remodeling)Appx $27k by my calculations of capital improvements needed in the next 5-10 years to increase the value of the property, properly maintain it, and keep it functionally up to date in order to attract higher quality tenants (located in a b grade area) (I'd rather have more invested to have higher quality tenants - have my own reasons for this line of thinking - willing to sacrifice a bit of profit to have good people)- Redo Kitchens- replace doors and all base trim/casing (more for my taste and would help the place rent out even quicker)- 2 escape windows installed for basement bedrooms- Concrete work needed on patios and near front of the house -- need to be done in the next yearProperty based on comps in the immediate area and a tight supply of decent duplexes here is $175-210k or so.  

I read on the Internet what I thought said that when someone stays for 30 days or less, and their occupancy is subject to the state’s hotel occupancy tax then they are a “guest” and have no "tenant" rights.

Being able to follow directions (or not) is one of my screening out factors....those that can follow directions and know how to 'work' the internet by responding to emails in a timely manner get bonus points.Do NOT depend just on credit score.  

If they shared my info with others especially on the internet i would probably not work with them ever again.

@Marco Santarelli I'm not even dating my local market.