What I've done with the tenants I have so far is to keep them on a month to month lease until I can see what type of tenant they will be after which I can decide to end the lease with a 30 days notice.There are definitely flaws with this approach so I'm wondering what most of you have done when inheriting tenants?

I think a lot of people who are taking this approach have a fundamentally flawed view of risk and variance - or simply don't consider it all.

There are some systemic flaws that allow this too (owner occupants to buy stupid), but that is too long of a story that nobody on this forum cares about because it does not concern them.

So is the Sales Proceeds when you sell.When an Investor believes that the definition of Cash Flow has ONLY (and I want to make sure you see the emphasis on ONLY) to do with how much monthly cash he puts into his pockets on a monthly basis and ignores all other cash flows, the the statement "X property makes $xxx amount of cash flow" is FLAWED at best.As Kai pointed out, you can be at ZERO monthly cash flow but if you sell at a huge profit, meaning your LAST cash flow which is your Sales Proceeds is HUGE.... your overall Return is GREAT, if you count EVERY Cash Flow.Similarly, if you were making, say, $200 per month in year 1, which may be a 10% Cash on Cash Return if you invested $24,000 out of your pocket, BUT, if you were forced to sell the property after Year 1 for a LOSS of $3,000 in Seller's Closing Costs, then your DEAL was BAD because you lost money overall.

After you've used software for a year or so, you'll identify flaws and have to evaluate again to see if it's worth shifting to a new system or building work-arounds.

@Will Fraser Actually that's not the exact scenario, but close and I now see the flaw in the scenario I was talking about so thanks anyways! 

Is this a flaw in the programming of the calculator itself? 

One uncovered space.

@Gerardo Escutia - Sometimes a second (or 3rd) option can uncover an unseen issue.

And I’d be on the hook for doing the title search and uncovering any liens on the place.