Also, focus on 2 years of job/income stability.Class D Properties:Cashflow vs Appreciation: Typically, all cashflow with little, maybe even negative, relative rent & value appreciationVacancy Est: 20%+ should be used to cover nonpayment, evictions & damages.Tenant Pool: majority will have FICO scores under 560 (almost 30% probability of default), little to no good tradelines, lots of collections & chargeoffs, recent evictions.

He hasn't been impressed with lead flow & quality.  

With over 15 years in the industry, I’ve had the opportunity to work on a range of projects, from residential redevelopments to mixed-use acquisitions across Texas.Today, I noticed some news about the ongoing expansion of Tesla’s gigafactory (https://www.bizjournals.com/austin/news/2024/10/28/tesla-gig...) here in Austin—an impressive 10 million square feet!

@Luis Herna, while I am not overly certain about TX's nuances, but they sound similar to Ohio, if you are collecting a commission, whether a fixed amount or a percentage of sales price, you are brokering deals and require a license.In my market the grey area solution is, like Daniel noted, actually close on the deal in a dual closing transaction, or formally assign the contract with an assignment fee tied to it.  

If you’re willing to put in the work to set things up right, it can be a beautiful way to build wealth together.Ok im impressed @Kristina Modares.  

The way you are breaking it down is very spreadsheet-friendly in terms of what would work in a best-case scenario, but landlording for five room hackers is not easy and the rent is not easy to collect in all cases.

Wondering if you have any particular online companies you recommend that checks evictions, credit reports, collects rents, provides a lease, etc... all in one place. what are some of the pros and cons you have experienced with each company. thanks

You will need to help them cross back into normal society, its not a situation where you sit back and collect the rent.  

I've used Stessa with my own rental properties and I recommend it to my clients, and I think it's one of the best ways for rental property owners to track their income/expenses, collect rent, etc. 

Also, focus on 2 years of job/income stability.Class D Properties:Cashflow vs Appreciation: Typically, all cashflow with little, maybe even negative, relative rent & value appreciationVacancy Est: 20%+ should be used to cover nonpayment, evictions & damages.Tenant Pool: majority will have FICO scores under 560 (almost 30% probability of default), little to no good tradelines, lots of collections & chargeoffs, recent evictions.