Once they show the fake lease, it's a civil matter and not a criminal matter. 

Should I let her out of the lease? 

If you intention is to occupy the house after rehab, you should review the lease with your lawyer. 

  - Long lease as it would be hard to refill

Our leases make it explicitly clear that the co-signer has no tenancy rights, only financial responsibility should the tenant default on the lease. 

I’m surprised you even got him to agree to a lease with a three month rent break clause.

I am building my investment team and need an attorney in Lake County who is familiar with creative strategies such as lease options.

She was living on one side and decided it was all too much for her.Accepting all offersClose to schoolsLess than 1/2 mile to groceries, shopping and restaurantsClose to emergency services2 minutes to ParkLarge yard for families with small childrenOn a quiet streetFully occupiedNew water HeatersNew water supply lineNew DuctingNew CarpetNew Cabinets and countertopsRehab bathroomsAll Appliances stayOne tenant is on a month to month the other is on a year lease"- I will research rental prices for the area- I need rental rolls from seller correct??

@Andrew Carducci, I would assume you could put some speculation in the lease contract, if you are worried about a liability. 

https://www.irs.gov/businesses/small-businesses-self-employed/tangible-property-final-regulations#SafeHarborElectionforSmallTaxpayersSafe Harbor Election for Small TaxpayersYou are not required to capitalize as an improvement, and therefore may be permitted to deduct, the costs of work performed on owned or leased buildings, e.g., repairs, maintenance, improvements or similar costs, that fall into the safe harbor election for small taxpayers.