Buy out the properties mortgages and sell it for a loss and try to minimize the total loss?

The guaranteed rent payments are one of the most alluring features because the housing authority pays all or most of the money immediately, minimizing the possibility of payments being missing.

I have found that the return on a SFH STR in those areas is minimal in comparison to other assets as they require a large down payment, but with management taking on 18-30% of rents it's much more difficult to manage.  

That makes you give minimal effort and say (see it didn't work).

I would NEVER, EVER offer up a reason to a tenant - minimally, you'd be subjecting yourself to an unsolicited argument/negotiation, and could be opening yourself up to a discrimination claim or other such legal entanglements. 

@Joey B. the main benefit to using FHA is that your are able to purchase a home with minimal down payment.

With a purchase price of $220,000 and minimal renovation costs of $1,500, the property promised a substantial return with a sale price of $245,000.

These efforts demonstrated our ability to maximize returns with minimal investment and time, ensuring a profitable outcome.

These efforts demonstrated our ability to maximize returns with minimal investment and time, ensuring a profitable outcome.

Condo is in a great shape and would need minimal annual repairs with everything external covered by HOA.