Just sent several clients today some in $125-$150K range, but they pretty rough, but rented at 1% rule and not in the best areas. 

Also there are rules with past due notices etc. as well as it relates to this.If you were to damage someone's credit and then find out you were not compliant, you could open yourself to a lengthy and very costly legal battle. 

Unfortunately, there are too man posts and moderators can't catch all of them.If you see something that you believe violates the rules, type "@moderators" and we will take a look at it.

@Brad Herb Investing in a syndication via a Self-Directed IRA (SDIRA) offers tax advantages but comes with fees and limitations:Advantages:Tax Benefits: Gains grow tax-deferred (Traditional SDIRA) or tax-free (Roth SDIRA).Avoid Penalties: Keeps funds in the IRA, avoiding early withdrawal penalties.Diversification: Adds real estate syndications to your retirement portfolio.Disadvantages:Fees: Setup, custodian, and administrative fees can reduce returns.UBIT: If the syndication uses debt, income may be subject to Unrelated Business Income Tax (UBIT).Complexity: Strict rules; all income/expenses must flow through the SDIRA.Illiquidity: Syndications are long-term, locking up funds.Use an SDIRA if the investment is significant and the UBIT impact is minimal, especially with a Roth SDIRA for tax-free growth.Remember that RE, outside of retirement accounts, provides the biggest tax benefits.This post does not create a CPA-Client relationship.

There are all rules you need to follow and many towns are limiting the ability to do this now.  

I don’t rule out anyone.

Louisiana is also a very landlord friendly state and that doesn't hurt either.I have been looking at the rental data in New Orleans lately and it seems like there may be a surplus of rentals available, most likely due to the STR rules causing people to switch to regular long-term rentals.

It takes a lot of training and continuous study to stay on top of tax law, especially with all the changes in real estate tax rules.

Why are they selling if it's achieving one-percent rule? 

I would get rid of that immediately.Second, I would ensure your rules are clear, in writing, attached to the lease, and posted in locations where the occupants can't possibly miss them.