What happens when that balloon payment becomes due and you have to exhaust all of your financial reserves? 

I'm a physical therapist so I can get a job anywhere we move.

The demand from high tech has exhausted supply creating a bubble, which has in turn priced a great number of people out of the market, thus driving the need for a correction, more affordable housing, ect ect..

Remember, they walk away with a physical diagram which they can refer back to, sketch on, and compare with others.

Moving here, inheriting debt, and eventually buying this house has never been beneficial to us in any way.I don’t want this to escalate to anything physical or violent.

This assumes that you have already exhausted all other avenues, and you know that the borrower has the ability to pay.

If it is out of state do I have to be there physically to check on property?

As the agent, you could list any house anywhere, as long as you are working with a service on the ground that takes the 3D scans and places a security bot (think Google Home with a camera) in the home to open the door, greet any physical walkthroughs, answer questions, play nice music, and keep an eye on the place.

Account ClosedYou can buy the paperback version here https://www.biggerpockets.com/store/set-for-life-ultimate, click on Physical for the paperback, add to cart, on the next page specify the quantity for the number of books you'll buying

How long have you noted she has been there and have you Physically or in writing posted  a legal notice to the resident that they have an unauthorized occupant living in the property?