Good luckThanks Dan, thats what I was afraid of, my target is hold for 10 years so I am hoping I can refinance at some point and sell at a considerable higher value in 10 yeras or so. 

I think a bigger risk in the short term is for the more up and coming areas like Ashview Heights where we’re starting to see some activity, but it’s not as developed as parts like Adair Park for example.

You improve the property considerably then miss a payment... boom... deed recorded and you've been robbed of your equity.

If the fact pattern was different and after you went under contract you created value through a variance, permitting or other means then you have a different story to tell and some lenders will treat the imputed equity as your cash consideration.

- Investing with a Friend: Tips on structuring partnership and legal/financial considerations?

Here are a few tips to help you navigate this:Tenant Considerations: When dealing with tenant-occupied properties, it’s crucial to understand the existing lease agreements.

According to the Fair Housing Act and the Americans with Disabilities Act:Even if a landlord has a no pet policy in place, the law does not consider service animals as pets and therefore the service animal is exempt from such a restriction.Service animals are allowed anywhere a person would go, including food areas that would normally restrict an animal’s presence.Landlords cannot charge a pet deposit or pet fee for service animals, however the tenant is liable for any damage that the service animal may cause.Landlords can require written verification from the tenant’s health care provider that they are disabled but cannot ask for any specifics about the disability.Landlords can require written verification from the tenant’s health care provider that the service animal is needed.Landlords can request copies of the animal’s health records to prove the animal is in good health, parasite-free and immunized/vaccinated.Landlords can write warnings or even evict a tenant with a service animal if the animal is disturbing others, posing a threat to others or causing considerable damage to the property.In other words, you can ask for appropriate paperwork concerning the tenant’s need for the service animal and to verify the animal’s health. 

As an owner, what are the top considerations or issues you face when deciding to bring on a property management company to help manage your units?

Give some consideration to the amount of money you want to invest for a down payment plus any closing & renovation expenses here too, although if you find a sweet deal you can find outside money to extend your reach.Next run the property through a quick analysis.

Option 1 allows you to spread your investment across three properties, considerably increasing your rental revenue and accelerating portfolio growth; however, maintaining several mortgages can be difficult, potentially limiting your cash flow, especially if one property is vacant.