One more tip – people remember stories that trigger their emotions.

Are there any emotional aspects of the home that are highly appealing such as beautiful windows or beautiful old hardwood floors?

Whether it's conventional, commercial, private, hard money, or seller financing, the paperwork and terms are generally spelled out in a mortgage and a promissory note (see: https://www.biggerpockets.com/... for a deeper dive). 

But renter B told me they are pursuing legal action for emotional distress.

Tenants with animals can be more emotional, unreasonable and protective of their pets than human parents.

If they are, this is a great property to look deeper into!

It was difficult to let go emotionally as it was a family business but it was the correct choice.

I do agree with @David M. here in that you should really look into your strategy a bit deeper and understand where you have some potential offramps to enjoy those earnings.

First, I think we overpaid for this property, emotions got the best of us.

The analysis would need to go way deeper than this, as you're also dealing with interest from your student loan.