If you don't discover, and correct, the cause of this flawed choice of tenant, you are in for a very long haul in this business.  

The relationship will never be equitable, it will be flawed, and it will ultimately frustrate all parties.  

Then when one bank sells it's mortgage from one to the other, it's all done thru MERS, by assigning the mortgages to the next bank..Now, there's some legal controversy involving MERS, uncovered during the mortgage crises, court cases which I won't get into, which is a subject onto itself. 

So, am I on to something or is my logic flawed?  

Quite frankly, this idea that you MUST HAVE cashflow immediately is just simply flawed.  

If we simply uncover an opportunity thru a resident survey that they are willing to pay say $30/mo more per month to have covered parking and 100 spaces are created and rented in your 150 unit community, you've just created $36K / yr in additional income.  

One of the major flaws in you system seem to be all the time you spend chasing these deals.

Instead of seeking flaws, why not explore the benefits?

(I admit its just one of my many flaws.)

Really, it's is just a confidence game- I look at the US Dollar and it has serious flaws.