I won't go into all the details here but my point is to highlight a bit more what's happening in the industry and ensure folks know its a team sport, that there are clear distinctions between an operator / sponsor and sometimes they are one and the same, and that the person who may be raising capital should both practically and legally have a broad based role in the GP partnership. 

In a number of the midwest states you highlighted I would advise strictly buying for cashflow and if you realize appreciation, it serves as the cherry on top!

It essentially involves discoloration of the walls and vaulted ceiling that highlights the framing of the house beneath the sheet rock.Well, I have the walls and ceiling scheduled to be repainted but now my tenants are claiming the issue is mold related and threatening to contact an attorney.

I suggest making some type of credibility packet that highlights your experience and education. 

I'm not an insurance professional but I am a real estate investor/manager; which ever route you decide I would just highlight that you are getting insurance for a reason and it defeats the point to have 'coverage' that will not cover you when you most need it or go with a company that is not stable to support your claim should you ever have one - Me personally, I'd rather pay a bit more for absolute coverage that to pay cheaper premiums and one day turn for help from my company only to realize that they won't.... but the premium was cheap.

I try to highlight this clause when a new tenant signs a lease so they know in advance. 

highlight=WaterfallGood Luck

With my clients I highlight the good, the bad and the ugly and offer my opinion of the property and whether it would be a good rental and also look at exit strategy further down the line.  

Houston Real Estate Highlights for December and Full-Year 2018 Despite uncertainties amid Houston’s ongoing recovery from Hurricane Harvey, 2018 proved to be a record year for Houston home sales with 82,177 single-family homes sold versus 79,143 in 2017, the last record-setting year.

I hit all the highlights.