I had an elderly couple who sold off 5 units of their investment properties. 

Situation: Years ago the owner of a property worth $1M and an elderly property owner placed a REVERSE MORTGAGE on their property which when funded allowed her to stay in her home and receive distributions from the lender up to a MAXIMUM sum of $700K. 

I have a soft spot for the elderly and think with the higher lot rents 1 bd, 1bth is all most of them want or need unless they have families that visit often.

She is elderly and has owned the home since 2001.

He was not married and was living with his elderly mother.

Depending on the type of "group home" (drug/alcohol rehab, handicapped, mental illness, elderly, etc.) you have other laws to make sure you comply with, and great point by David D Painter re insurance.

Under our current legal theories and court decisions, a business to business transaction neither party owes anything to the other; in a consumer to business transaction the business owes the consumer honesty, fair dealing, and possibly agency (not to use superior knowledge to the detriment of the consumer).From an ethical view point here's how I look at it, if it's not something I would want my elderly parents involved in, then I wouldn't want to do it to anyone else.

Same with dealing with the elderly and pre-foreclosure.   

It is different for the elderly couple who has lived in their house for 30 years and now has a large building constructed directly next door and wants to erect a fence that exceeds the max height allowed.

Your tenants are elderly people with real world medical problems. how do you provide for them, and build a thriving business while dealing with all the management issues?