(even if it's a previous LLC)I am eyeing a property in my hometown. 20-units, all 2bed/2bath, new roof, water heaters and exterior paint.

I feel like people lean more towards the possible cash flow and turn a blind eye to the risks and reality of owning a D property (not saying this one was) when it is 1,000 miles away and they only have to take phone calls from a third party about any issues. 

By having more tenants there are more eyes to watch for issues that may pop up, more people paying rent, and if you have one of the units vacant for a bit, it will not hurt the bank as bad as it would if you only have two tenants in the building and one of them left.   

.- BP community rolls eyes at obvious spam and calls this out.

Keep an eye on the water bills.

The money must be secured by real estate or in the eyes of the SEC you have committed FRAUD.

You have eye witnesses (maintenance team) who can corroborate what you saw.

The whole concept of being over-leveraged depends on whose eyes you are looking through.

That "control" includes keeping a direct eye, picking up after tenants to increase curb appeal or giving you a better sense of when to increase rents based on the neighborhood evolution, or when to trade for that matter. you do not have that when it is too far from where you are. 

Of course someone will post on this forum yeah I did it… but it is unrealistic in the eyes of those who are experienced that anyone should take others monies with no experience.