Joe Asamoah who focuses on quality homes and solid tenants.

@Marc ShinLike @Andrew Steffens said, for big items, go with quality.

Much of this is loan underwriting and it can identify a quality note.Today, you should turn over any note you buy to a mortgage servicer, for about $300 +/- a year you'll avoid tons of regulatory issues, tax filings, notices required and collections with a performing note.

they probably have a bunch of 3% nonconforming loans on their balance sheet so 5.5% is not bad, totally reliable payments, plus in a legal battle they'd likely find the power of attorney didn't extend to the ridiculous term and that there was no breach of any enforceable agreement.   

A 5 year arm might be a bad idea in this case. 

First deals have a bad reputation for being a "miserable experience."

Not a bad turn on investment for dollar amount, if I am willing to work for free on the calls. 

Better to have your own property manager use trusted handymen to take care of the issues for long term/quality fixes. 

Patience can be your best friend and if you attempt to over leverage a property it can come back to hurt you.Some will recommend buying subject 2 where you could take over an existing mortgage that could be at a substantially lower rate - but if the lender finds out and calls the loan that could also be very bad.

The paperwork isn't too bad, at least here in Texas.