2 Part Question

[Jennifer Wood]

My husband and I have an opportunity to purchase a single-family rental portfolio in our out-of-state investing market that is owner-financed. While the units look to cash flow, for the next 5 years we plan on using that cash flow for any extra expenses over and above what we would forecast for the maintenance, repairs, and capex items for the properties since we already have W2 jobs we plan on keeping for at least the next 5 years. This is in the early stages so I don't have a lot of info to go on right now.  We have a solid team that can support us in this endeavor but I would welcome any guidance those of you who have done this may have:

1 - What are the major pitfalls that we need to be aware of with doing something like this? We plan on having an attorney look everything over, doing this under our LLC, etc. What are the major and minor things those of you who have done this either looked for, or wish you looked for?

2 - Would you recommend purchasing a home warranty package (like American Home Shield) for something like this?  Is this even possible?  We are talking 15+ properties.  The only experience I have with home warranty packages is using AHS for my primary residence and it has been worth it for us.

Thanks for your time!