He would have to participate in the screening and selection of a tenant and I would essentially be a local contact in case of emergencies and maintain the lawn. 

I called the non-emergent line but dispatch couldn't give me any information. 

And, if I had an expensive emergency, I can get the funds to cover it.So, I'm trying to figure out my best game plan.

I'm wondering if anyone uses this exclusively or if you have a policy for standard vs emergency issues?

If you spend all or most of the $40K on the next property, and if you will have some cash reserves for emergencies, I can get behind this scenario where you would continue to pay her $550/month. 

I also have a tenant information update form that I place with the letter so I can have their current information, name of all tenants, contact information, employer, emergency contact etc. 

I'm just starting my REI learning process, but have previously lived by the "have 3-6 months of emergency savings" principle.

I already have a nice sized emergency fund for repairs and such, and 'm working on negotiating the price down some more so there's still wiggle room.

I have an emergency fund but I'm not dipping into that.

Truth be told, I enjoyed his second book more (Emerging Markets), but it's hard to beat MF Millions as an introduction