I am trying to mount the SSHFS using the following run command 

run("sshfs -o reconnect -C -o workaround=all localhost:/home/test/ /mnt")

and it is failing with the following error

fuse: bad mount point `/mnt': Transport endpoint is not connected

However if i demonize it works. Is there any work around?.
I figured out finally there is an issue with SSH and need to pass pty=False flag.

run("sshfs -o reconnect -C -o workaround=all localhost:/home/test/
  /mnt",pty=False)
sshfs mount failing using fabric run command