I'm in the process of transferring some LLCs to my family trust.

I found too many errors in the PiN system for me to feel comfortable trusting the data. 

Remember that principal payment is not a cost, but you eventually include depreciation.

Rarely covered in the version that's turned over, but important edits will set expectations, payment schedules, and includes specs/allowances.

In order to not have to put any of our own money into this deal, we intend to leverage the equity of my Grandma's home as a down payment for the loan.2) Should we leverage a construction loan or some other form of financing?

My point, however inartfully stated, was the underlying payment obligation needs to exist to put others on notice. 

Yes you can have issues but normally you go to a few trusted people for repairs.

It's unreal that people trust their life savings to something that they either just made up or found on some random forum.

We tried getting them on payment plans but it didn’t work.

I felt the same way, but didn't trust my gut because of my inexperience in this area.