They are the one that is going to protect your investment long term. 

i am also a little bit concerned about renting, cause I heard a lot of cases where tenants didn’t pay the rentHow do I protect myself from this? 

You will also be paying for: - Recycling - Stormwater - Yard Waste - Water Base Charge - Watershed Protection - Water Infrastructure Replacement Charge - Waste Water Base charge - Waste Water Infrastructure Replacement ChargeThe "overhead" charges currently total $49.94.

Usually these fall into 2 groups:   Additional protected classes,  mainly source of income,   and inspection/registration requirements.  

Also, you don’t need  $360k if the loan gets called; with a principal loan balance of $240k it would be more like $250k.Whether you do a wrap, sub to, or lease option when dealing with a owner occupant / consumer there are many legal “traps” to navigate because of consumer protection laws at a state level, and CFPB and Dodd Frank at the Federal level.  

It can help with liability protection and organization.Software for Cash Flow: You can find plenty of real estate-specific software, like Stessa or Rentometer, which help analyze deals and track performance.

very strong protection indeed!

A well written management contract should clearly spell out what is expected of both the PMC and the owner, to PROTECT both and avoid misunderstandings.

.- Diversification:Spreading your investments across different states reduces risk and helps protect your portfolio from local economic downturns.- Affordability:Some out-of-state markets may offer lower property prices, allowing you to get more for your investment.- Higher Cash Flow Potential:Certain markets might provide better rental income, leading to increased cash flow.Cons:- Limited Local Knowledge:Understanding the nuances of a new market is challenging without on-the-ground experience.- Property Management:Managing properties remotely often requires hiring a property manager, adding to your costs.- Increased Travel and Communication:Regular visits and long-distance coordination can increase both time and expense.- Legal and Tax Complications:Navigating different state laws and tax regulations can be complex and confusing.Out-of-state investing can be a great way to grow your real estate portfolio, but weighing the benefits against the potential challenges is essential.

Protect yourself with knowledge about your counter-party whether it is a broker or lender and certainly shop the market to ensure your terms are fair and consistent with market trends.