If it helps the thread, I am particularly interested in Massachusetts regulations. 

Or, if we deem necessary, if the tenant has caused problems in the past or has a history of late payments, we will then issue a non-renewal notification and begin to market the home for new applications which will then undergo our screening process. 

There is NO WAY a prospective tenant can sue me for discrimination, which will not happen in my apts as I put in my own tenants.In my apts Here in Brooklyn, I have the world of all kinds of minorities and status, each of them I know very well and will stand up for my Character in Court.The diversity in my buildings are incredible and represents just about everyone.Also, because I provide them with great service and speak with them on occasions, anyone coming to my building who claims discrimination will be proven to be false as I probably already have that protected class in my building.The only commonality is that all the tenants meet a Qualification criteria of Credit, Income and other non-discriminatory criteria.BUT, I know that's not LL.

So you need to actually spend it or find some non-cash deductions. 

She is working with the Navy to get move set up through a non-standard program. 

This particular job sounds like something a handyman should take on. 

The reason for this is HI is a judicial foreclosure state and it takes much longer to foreclose than CA which is a non judicial foreclosure state.

Our current course of action is to give the tenant a notice of non-renewal and/or cash for keys.

If the owner stopped paying, wouldn't the whole country need to go down the gurgler before your non-performing 2nd note would be worth nothing? 

Although it's nice from a non-financing perspective, it is definitely something to keep that in mind.