Will they "check themselves" from bad behavior when they see a professional company with professional services, legally reviewed lease, etc. managing their day-to-day?

We are only allowed to screen non-tenant applicants for criminal and rental history, nothing financially related. 

I'd venture to guess your tenant is a criminal or drug addict of some sort.There's some truth in your thought but he's actually a really nice hard working young man. 

They are really starting to crack down on these types of behaviors.

PS Rochester and Buffalo were ground zero for much of this stuff also there were groups buying those homes for 10k packaging them up and selling them for 80k to investors from England. the city / state finally cracked down on that and there was some folks that got in trouble on the criminal side of it.. you can google it.. wont mention names but you can find it if you dig deep enoughBut this is nothing new.. buying hood rates for pennies and selling them for dollars to foreigners and unsuspecting out of state folks. 

It's a nice lesson in behavioral finance.

Billions were paid out in fines for criminal misbehavior and not a single dime went back to any of the victims. 

But just hating on wholesaling in a wholesaling forum is so unbelievably pointless. its not dead per se  but it is starting to be regulated as it should.. oregon just passed their version. where to wholesale you now need a license and over site by the RE commission.. along with criminal back ground and a BOND.. and as we know not everyone can pass either of those with the bond being the tough one if you have bad credit your not getting a bond.

Also credit score 680 with no missed payments over the last 2 years and also check their criminal report just to make sure you know who these tenants are, as the eviction process in New York city is very long and expensive. 

I’m sure he’s facing several civil lawsuits right now but I think SEC/criminal investigations should be happening as well.