It's those maniacs that buy homes cash via quit claim deed off of craigslist that really get screwed.Make sure your property manager is a licensed real estate brokerage.Understand you can not eliminate all risk, only mitigate it.

My thought it is, it is a risk that can be mitigated with strong leases and insurance.Also, when you first start out, and form a new LLC there will be costs.

But if they have good, steady income and good Landlord references, they may be excellent renters that will stay put for a long time because they can't qualify to buy.There's nothing wrong with taking "risky" tenants as long as you mitigate the risk and have solid processes in place for when they fail.

Plus it mitigates the risk of only you having the financial burden of financing by yourself and develop relationships Let me know if you have any questions.

To answer your questions Mr Rich Weese, I have done the following to mitigate most if not all the risks for the investors1.

It's those maniacs that buy homes cash via quit claim deed off of craigslist that really get screwed.Make sure your property manager is a licensed real estate brokerage.Understand you can not eliminate all risk, only mitigate it.

Someone may get hurt but that's no reason to make bad decisions, you just need to mitigate your risk the best you can. 

It's those maniacs that buy homes cash via quit claim deed off of craigslist that really get screwed.Make sure your property manager is a licensed real estate brokerage.Understand you can not eliminate all risk, only mitigate it.

the biggest risk mitigator of all is INFORMATION.

Each bank has their specific form online in their loss mitigation section.