Be sure you contact a securities attorney to sort through all this and get a legal opinion. 

Rent minus actually spent and legally deductible expenses.Step 2.

Hello,I recently got pre approved and now looking at properties to house hack in the Chicago land area (suburbs).

I am curious about ifit's hard to get approved, how long it takes to find a decent tenant, your experience with inspections, etc.

There have been multiple legal challenges to this position of the FTB (California tax department, or Franchise Tax Board), but I don't believe any CA resident won such a fight.

The reason should be communicated to the tenants.Since this is a case where the landlord wishes to terminate the lease early, the landlord may want to consider offering a cash incentive to the tenants.If the tenant doesn't agree, they're legally allowed to remain tenants until the remainder of the lease.

That said, it's certainly impacting my project in numerous ways and I will have legal expenses. 

Red tape = dealing with the government, getting the house inspected and approved, learning the procedures of Section 8 so you do everything the right way.

Would you approve applicants without a verified rental history? 

. - Make sure you get a security deposit and perhaps do a surprise inspection of their current home.S8 requires an inspection (mostly health & safety) before approving a lease and then annually thereafter. - Not something most landlords taking care of their properties have to worry about.There are limits to clauses they allow in your lease.