Way too much risk especially when they could do a short sale and genuinely be done with it and move on without the possibility that you may default on the mortgage and then they’re back in foreclosure again... 

Secondarily, her credit is being placed at risk assuming the loan is not assumable which it almost surely isn't. 

He/she has no personal liability if a tenant takes legal action, but the equity of all 10 properties is at risk.

He/she has no personal liability if a tenant takes legal action, but the equity of all 10 properties is at risk.

@Jack B.ANYTHING, as you pointed out, can be faked.BUT... if you are doing that for an apt, you risk committing a crime by falsifying information.So, let's say a tenant has the following:- NO CRIMINAL HISTORY from the Report- HIGH CREDIT Score from various sources- Qualified and Verifiable Income from their Employer- NO EvictionsAfter checking all of that, they then submitted a FALSE 6 months bank statement?!

Multi families are the way to go from a mitigating risk standpoint (more doors = smaller risk per door), but more doors also = more tenants which CAN (not always) lead to more problems, just something to keep in mind.

The risk, and headaches, are far too great and only magnified by the fact that they are not present to easily manage any problems in person.

You lose a lot of control and open yourself up to a lot of risk.

They will all be selling that loan to the secondary market and don't want to risk their license, their reputation or their freedom for mortgage fraud.House hacking is one of the best ways for individuals to build wealth; I am convinced of it. 

I am struggling with how to weigh out the risk of it being such a small town.