A quick googling shows that you're supposed to collect Transient Occupancy Tax, although they may not enforce it much.  

@Roy N. have you ever collected on your "fine" or ever been successful in an eviction for smoking?

In this case, you would continue to collect rent, but they would have a set option price that they could exercise at some future point.  

So, it does not follow in all states that you can collect as a second position Mortgagee for deficiency.  

Arnie the judgment can be from a medical collection company, a scorned contractor, all kinds of things.If people do not show up or were given proper notice then a judgment is issued by default.The tenants can file a "motion to vacate" to have the judgment vacated.

If she has had trouble with collections, debt collectors, etc., then you should probably do the refi now.  

I find value in collecting, shaping and amending my thoughts on these matters.  

You still get to collect more up-front than I do in NH, where I can only do first month plus security equal to the first month.

It will look like this:Me - $5,000Partner 1 - $5,000Partner 2- $20,000 (we are collective $5,000 extra for minor repairs and an operating account)My question is, how can we structure this so that 1) we all own our prorated equity share in the project and 2) all are guarantors on the loan under our prorated amounts.

Blanket Receivership (until Warranty Deed is issued by judge) ==> buyer can collect rentI have included a couple of links for further explanation.