If you don't fit into their box, the local bankers typically don't have the ability to help you even if they want to. 

But if you have a strong network of bankers, hard money and private money lenders, you might still be able to work it out.

It's not dismissed forever.In most jurisdictions, an eviction action is for possession, not for a monetary award.

I also wonder what happens if your occupancy tax payments fall will the city evaluate that since they are awarding licenses partly on taxes collected.

With experience as a Mortgage Banker in my past, I naturally have real estate conversations with my clients and think I can provide a whole new level of service to them by having duel registration as a Financial Advisor AND a Real Estate Agent.

Bankers license and grew that business up to the point we were originating 40 loans or so a month all of them for West coast BRRRR buyers buying in the Mid west and deep south..  08 hit and we got slaughtered..

Lisa Baldwin of Coldwell Banker, and Rob Messenger of Legacy Mortgage. https://www.legacymortgagellc.com/

But again if it s a Primary home you will need to go either Portfolio, Bank Statements, or 1099 program.You may qualify for FHA is you have (2) years 1099 and a positive Schedule C (Unless you get K1's).It's best to reach out and have a conversation with a Banker or Loan Officer, but make sure they are all well versed in these programs above. 

Pay for it outright, but maintain the partnership, but I become the banker and charge him interest on the loan I give him (2% lower than the market)What do you guys think? 

I went through several banks before finding the right banker who was willing to work with a small investor like myself.