Stay away from HOA's. 

@Spencer Harvey I know people have reasons for why they prefer a HELOC but I tend to stay away.

So call a few times (not too many) be super friendly (remember, this is small town lending) and stay patient!

From what I understand, I should be ok if I list the property as "xxx and yyy, trustees of the trust, as MY sole and separate property",  then the ownership still stays with me and my social security number, even though it resides within the trust.   

This surprises most and this is where is seems great. 

With the university of Chicago nearby, it should stay booked. 

If it's only a year lease perhaps the least painful thing is to let her stay through her lease and then give her notice 60 days before the end of it that you have other plans for the property.RE marital status, FWIW, I sometimes misspeak and call my ex "my husband" 8 years after our divorce.

Many tenants will stay during the inspection and you will get to meet them, shake their hands and see what you are getting yourself into.

I hate to say it but appraisers are notoriously dumb sometimes and it doesn't surprise me that she took a listing as gospel truth.

Just be really careful here. 7% is NOT a good rate for this deal at all, and youre going to have to generate a massive amount of gross income each month to stay solvent.