I’ve found that showing a seller actual repair estimates can sometimes help bring them back to reality, but not all sellers are reasonable.

That will be the best spot to meet an investor friendly agent in person or at least meet other investors in your markets that can help connect you to the right agents.

Like Michael mentioned if you are just reporting on schedule E/C on your personal return- a balance sheet isn't required; so full double entry software isn't required (but still helps). 

Thanks for any help.

Not to say you are implementing these things to share with LPs to help build trust, but if you had me interested in investing, then went down a rabbit hole of all the ways you are protecting the investment, I would actually start to second guess my investment.But more to your practical question: the best way I have seen this done typically requires a fairly large scale. 

Hopefully it will help someone else.

Hope this helps and I wish you the best of luck in all you do!

Quote from @Mitch Seiffert: @James HamlingThis is super helpful, thank you! 

I'm really trying to help people expand their thinking beyond only focusing on RE investments. 

Hope it's helpful to someone!