Think of all the other distresses:  taxes, liens, tenant issues, code compliance, HOA,......and you'll see that their loan payment (regardless of equity) is just one problem of many. 

It is nowhere as easy or assured of profits as they make it appear on HGTV.There are better real estate investment avenues for scaling your seed money. 

Zoning codes and application can be very confusing and has the potential for a huge impact on a property's potential.Reports would include a zoning analysis, municipal compliance reports, special permits, development standards, legal non-forming statuses, parking requirements, rezoning/subdivision potential, etc.In your opinion, woukd a service like that be of value to you as investors? 

I am concerned about the bank account terms to satisfy the protection from creditors requirement at the beginning of the paragraph.I have not been able to find a bank account type that satisfies both the capability of commingling and the requirement of protection from creditors.so I am stuck either being compliant to the creditor protection requirement but having a separate account for each tenant, or commingling without compliance to the protection from creditors requirement.Looking for a solution.

I have a solid above average job, but nothing spectacular I assure you. 

So if presented that way, such as "Sure you can go month to month, your rent will be $150 more a month in that case, or if you sign a new 12 month lease and it would be $75 more") they may have more incentive to sign a new lease.  

From a compliance standpoint, I am not sure how it works to sponsor someone and NOT have them be a producing representative. 

Any loan on a 1 to 4 unit wether owner occ or not is under safe act compliance. the difference is if its investor you do not have to go through all the tila respa stuff. just 3 docs.

They are fantastic tenants and assured me there would be no customers coming and going to the unit, as everything is bought and sold online and they will pick up and drop of shipments at FedEx. 

I can assure you that you'll see me at both of those!