I do commercial but for residential what I saw on the last down cycle was this.Those landlords that had the most expensive rentals felt the pain first.

For me as a potential renter it sounds like a pain in the arse.

There will be pain and suffering for those who go first.

They don't update listing statuses, we as buyer's agents still have to do some of the agency disclosure paperwork with the seller and estimated net sheets required by our RE commission - so frankly they're a pain in the rear. 

It depends on your local rules but splitting a parcel can be a major pain and the locality might not even allow it due to zoning or setbacks or lot size restrictions. 

It was very painful. 

Was able to reduce electric about 60% through energy efficient upgrades, and then put rooftop solar on the place (going in now, permits for commercial are a pain in the @$$....Will nuke out the power bill, just have a few bucks for connection fees.  

So it's not like Turnkey is pain-free, you have to do the work and know how to avoid being taken for a ride, like pretty much any big financial decision in life.I am always happy to provide info to new investors, as it fuels my BP addiction anyway ;) But before you or your friend make any decisions, it's crucial to have a serious heart to heart about what the goals are for the investment and what your needs are with regard to time commitment, risk, and control (do you need to be near the property, do you need to be in charge of tenants?).

They share the same meter so pain to rent separately but, good for this I guess.

Now if they aren't paying on time or are a pain, not taking care of the property, etc. then by all means put them on notice and they either enter into an agreement or you put them out.