I manage 400 rentals and the most significant claim ever filed was a kitchen fire that cost $20,000.

There are also additional costs of operating and maintaining an LLC, like separate bank accounts, annual report filings, tax filings, etc.2.

Becoming a LandlordYour house appreciating at 5% annually = $25K/year.Your parents' larger house = $30K/year.Financing the PlanTake out a mortgage on your house to buy your parents' house.If their mortgage rate is lower than today’s rates (6.75%), keep their mortgage and assume it.Why It WorksYour tenants pay the mortgage—not you.Each monthly payment includes ~$300 toward the principal.

Without going into too much detail, my current situation stems from selling a previous company via partial owner financing, only for the new owner to default on the purchase, leaving me in this position.For traditional financing, I understand I’ll need at least one, if not two, years of solid credit history, tax filings, and other financial documentation.

Home warranty programs charge a trip fee every time you file a claim, and they use that fee to compensate the vendor.

She was paying rent when there was a landlord that would file for eviction.

Do you best to not file insurance claims.

You will also want to find out if payments are interest only or if some principal is built in.

Quote from @Cheryl Abram: What legal filed docs are LPs entitled to see to help validate a deal's failure?

Home mortgage is $3700/month and $500/month extra payment towards the principal.