Switch from offense to Defense - Use the 1031 to concentrate debt in a few properties and keep more free and clear. 

No offense to the other guy who suggested them.

Misrepresenting or using fraudulent cooked up documents to induce a contract is a serious prosecutable offense and definitely basis for voiding a contract at the very least. 

Go on the offensive and find her responsible, and pursue legal recourse.

No offense but I feel bad for the original seller more than you.

No offense meant Caroline, but what you said didn't make sense.You can get a non owner occupied loan from a bank, retail mortgage lender, specialty mortgage lender, mortgage broker, or credit union. 

But if you need to be on the offensive, you can choose from their lawyers at a discounted rate.So essentially, if you get sued, they help you.  

Quote from @Jay Ben: No offense, but you are not cut out to be a Landlord.

@Jerome Morelosno offense but... this doesn't make a lot of sense to meHELOC rates are high so for this to work you'll have to give them a great return to make this work for them...way too complicated for my taste

His approach to managing his own properties is that he has paid for all his tenants' first time offenses and given them a stern warning that if it occurs again they have to pay 100% of the costs, if the broken/malfunctioning component is their fault their next time.