It's a good way to marry rehabbing distressed real estate equity capture with long term note income for retirement accounts for those that are interested.

I couldn't understand why their credit wasn't better considering their income was what it was and their debts were not unreasonable.

Same income, same credit, DTI ratio, underwriting requirements.

My daughter is an Agent in Vegas I suspect they are going to get a lot of overflow as well since there is no income tax there and prop taxs are basically the lowest in the nation.. my mid term rental I have there has routinely been leased out to insurance companies paying for their clients that had a fire .. or this last one they were building a new personal residence that took over a year. 

I am currently enjoying my 1k monthly income with no debt, and I am nervous about leveraging.  

This can indeed provide a steady income stream and considerable financial stability over time.

Quote from @Max Emory: @Bob Asad, there are a lot of different account structures out there but absolutely keep security deposits in a separate account from your opex/income account. 

Jeremy Congratulations - I grew up in that area and cost of housing has skyrocketed while incomes have not, so there definitely is a need for affordable housing in that area (as well as pretty much everywhere else)

So he needs to be more ITM than  the 1.25:1 ratio.With that said, to answer the question-- figure out your debt or income.

I’d check the local market to see if there’s a steady demand and compare the potential income with what you're making now to see if it's worth it.