When you're looking for a property, what are some easily recognizable red flags you look for? 

I see two glaring red flags, both around the same issue  -- How are you selecting tenants? 

Our fixed costs for an application is around $45.. and we are willing to absorb this cost for an application.I've heard horror stores about a lot of up front fees..and my recommendations is to never pay them.....Its a Red Flag..

When somebody says they just got a wad of cash from a lawsuit then that tidbit alone would immediately trigger a red flag for me .

Make sure you clarify what type of assistance animal you could be dealing with.If your tenant says they have a service animal rabbit (not possible, notice wording) then that is a red flag.

Accordingly, your commissions will always be reported under your personal SSN, and moving it into an S-corp will create some complications, aka red flags.3.

Further, I would want to report any income (whether I call it "rent" or something else) that I earn from the roommates on my tax return, and I wouldn't want that to raise a red flag either. 

Instant red flag of theft.

The floors are typically old white or red oak 2 1/4 nail-down tongue-and-groove strip, 3/4 in. thick.

This obviously raises a huge red flag.