I'm not sure how others usually go about this, but from a landlords point of view, it seems like if this person age 24 or younger, but older than 18, is a full time student, still able to be claimed on taxes as a dependent (often still under parent's health insurance and car insurance as well) it seems maybe not so necessary to include them on the lease as well. 

I know conventional loans are less strict about condition than an FHA/VA, but more wondering where the tipping point is from a lending perspective to require a reno-loan vs. conventional.There are a few health/safety issues. 

Check the studies by Harvard (and others) at how terrible humans are at timing the market... at some point, you gotta get wet if you wanna go swimming! 

I get that we as landlords want to delegate as much accountability and cost of the property to the tenant as possible, but I doubt they will care one way or another about the health of your properties systems.

The condition of the house makes it unlikely for a conventional loan to close without addressing a few health/safety issues before closing, but the Sellers want an "as-is" sale.  

It sounds like you have good tenants and you are all acting like normal humans to find a solution that works for both parties. a rare post on these forums lol

I am originally from Republic of Moldova, I am a real estate agent with Keller Williams Realty and my wife, Roxanne, registered nurse is from Philippines, we moved in here in December 2018, due the fact that my spouse got a job  at Cape Fear Medical Health Center Job, one of the greatest medical facility in Cumberland and Hoke County, North Carolina. 

) and there is absolutely nothing wrong with seller’s being defensive - that is the inherent nature of human existence. 

The reason why they're not considering this is bc her expense and meal per diems are not 'compensation pay' but rather benefits, same reason why they don't monetize your health insurance coverage as part of the income of anyone else.

There are also health concerns when you rehab a place that had a lot of pets in these conditions.We’re regularly involved with hoarder homes.