If one of them had ever been through an eviction before, they likely know more about the process than you, along with all the possible stall tactics to stay in then home without paying.

As a 24 year old working in Sacramento after studying engineering at the University of California Berkeley, I stayed for $550/mo in Rancho Cordova, all included in a furnished room in a 30-something lady’s twin house (shared a wall with another owners house).

Your reputation also stays in a marketplace so please do not do this to yourself again sir.

I am a Paramedic FF and my wife is a stay at home mom with our 4 children.

I always recommend staying conservative when you start your analysis. 

Second, when it comes to utilities in multiple real estate building can you get a better deal on utilities or does it stay the same?

I believe some states may collect some type of hotel/occupancy tax if the stay is below 30 days.

My lease with the landlord strictly forbids subletting, so I'm not able to draw up a sub-lease agreement with the new tenants.

Staying with this deal, and continuously losing money is foolish. 

.- If we stay, and there is water damage... what then?