We can also require the program to have a 2 year lease agreement, which adds value and slows turnover rates.

The three most common products that qualify for 1031 treatment and tax deferral but are absolutely passive in nature are the Tenants In Common (TIC), the NNN lease or ground lease, and the Delaware Statutory Trust. 

My initial goal was to do airbnb with it but I called the leasing office and found out it's not allowed.

Do you have any tips on how to prevent renters and cleaners from taking all your extra supplies (like how people take shampoos at a hotel)?

Use the remaining cash to purchase a passive investment 1031 compatible vehicle like a TIC or NNN lease and pay tax on the mortgage buy down. 

His property management company is advising against eviction proceeding because it would take 10 years to collect repayment and they would have to leave the unit vacant for the remainder of the lease.

@Steve G. for lease option to buy contracts??

TO get applicants in ,, we would say Free applications,, with signed lease.. so if they qualified, we'd credit the cost of application back to thier account,, they all still had to pay the application fee,, we just absorbed the cost if they signed a lease...

We are renting a home with a lease option. 

So, if I refinance at $350,000 (which is at the bottom of what I think it is worth, at 4.5% interest rate at a 70/30 LTV, $6,000 in taxes, and $2,500 in insurance, the mortgage payment is $1,950/mo and the property currently leases out at $3,550/mo.