You may take physical custody of the original note as endorsed and you may give that to the servicer for custody or retain possession and put that in a safe, like a safe deposit box.Then you receive the request to accept the deed from the borrower and the quit claim deed can be made.

If you can convince the HOA to file for this and the judge agrees, the court will order a separate third party to take possession of the property.

The process of moving the property from the ownership of the owner to the state's possession (not necessarily 'ownership') is called Escheatment.

The security deposit is deposited into our security deposit trust account and remains there in its entirety until a future point in time when we regain possession of our unit. 

But one day of post-closing possession... and your 75-120.3(d) "shield" is out the window.

When the Mortgagee takes possession of the deed, they are now the formal owner and they can rent the property or sell the property or do what ever they deem fit.

Has your pm reached out to the tenant to see what it would take for them to return possession of the property and just leave?

RESIDENT UNDERSTANDS THAT IF POSSESSION IS NOT TAKEN ON THE DATE SPECIFIED IN THE LEASE AGREEMENT THAT THE Holding Fee  WILL BE RETAINED BY MANAGEMENT AND WILL THEREFORE BECOME NON-REFUNDABLE, IN ADDITION, THE LEASE WILL BECOME NULL AND VOID AT MANAGEMENTS OPTION. 

That encroachment is an issue because it can result in an adverse possession claim. 

Shortly after taking possession of the building, I increased the rents.