Applying those principle, focus your energy on doing the preventative things on a day to day basis that reduces the risk of claims from occurring in the first place  (siginign vendor agreeements /collecting insurance certificates) and carry appropriate levels of insurance.

Note price had already fallen some at that point so it is down more than $70k since market high.  50% rule is a rough estimate that costs other than principle and interest will be ~50% of the rent.  

Isnt the objective is to help them sell the property ?

Consider if creating an LLC is worth the expenses incurred, particularly if you are just starting out with investments.Think about your long-term financial objectives.

Keep it simple and make those principle payments.

It’s important to figure out your goals and objectives, and then that will ultimately give you a few areas that you can narrow it down to.

Whether you're interested in wholesaling, fix-and-flip, buy-and-hold, or other strategies, there's a wealth of information and a supportive community here to help you on your journey.Clearly identify your short- and long-term objectives in the real estate market.

or are you the 'principles' police? 

Investing for me is about a return and not a total loss of my principle.       

While I don't know your personal capabilities or background, the objective should not be to merely purchase real estate, it should be to execute on an opportunity where you do right by your capital providers.