And, if you get a owner occupant homeowners policy, and you have a claim, and the company figures out it was really a rental policy, they will just refuse to pay.

Not curent rents, occupancy, and condition. 

Alex, does your town have an ordinance regarding occupancy?

Owner occupants get to make offers before the investors do.  

If we had too much inventory or other factors that showed that things will soften in the soon future I'd say wait, but nothing indicates that will happen and rental occupancy is at 99% currently with only luxury being built so it is and appears to remain a landlord's market in my opinion. 

Lease to the organization and let them take care of the occupancy issues.Might search for "making money in non-profits" as I believe we touched on these aspects and working with community organizations.Trying to break into assisted health care living today is no arena for anyone without a health care background, deep pockets and compliance experience. :)

Is it legal to select tenants based on them having fewer occupants?

The community owner clearly knows the home is for sale but, does not just want to go buy it from the resident because they have the resident/occupant obligated to pay lot rent.

You can take advantage of leveraging owner-occupant for low down on loans.

If exactly the same, the tenant may think it's the last months rent and just not pay their last month of occupancy.