Your loan may also be capped at 65 or 70% of the after repair value.

It is also will allow for experience in managing tenants, repairs, accounting of the expenses etc...plus you get to keep a close eye on the property.

The plumber’s report indicates that the leak may have been caused by an overflowing tub or sink upstairs, but the tenant in that bedroom denies any such incident.As a result, I now have substantial expenses for the plumber and restoration company, including drywall repairs, painting, texturing, and reinstalling electricals.

I haven't reviewed the Standard Lease Agreement yet, but all I need is the right to sublet, and possibly some negotiated capital responsibilities (owner pays for repairs over a certain amount or split responsibilities on certain expenses).

We take pictures on a pre-inspection only of existing damage, which generally doesn't exist because we repair anything that happens between tenants.

In either instance, you were able to use the cash out for something and if you had left the interest rate alone, over time you would come out ahead (unless of course he put you into an interest only loan or something crazy).You're right that refinancing so many times can eat up your principal and since you were the one that signed the papers, it is your fault, but I stand by the assertion that no one got rich on one point.Stephanie 

Do they schedule the inspections ahead of time or just show up randomly and unannounced?

I believe the better value currently is finding a home that needs cosmetic repairs and allowing the PM to handle those and get the place rented out as someone else stated.

Any expenses you put in to renovation or repairs are not deductible, but must be capitalized after the property is in service. 

Get an attorney ASAP, not just to protect your own interests but to get ahead of others in the same boat who may be considering the same thing.