This is the telltale sign of someone who couldn’t spell the word “loyalty” and won’t be around very long.

Maybe if I listened to the podcast then I will be under the spell..

If you do allow it, you should have a written agreement that spells out specifically what they are allowed to do, materials used, who pays for it, compensation for labor, what happens if they do a poor job, what happens when they leave, a deadline for completion, etc. 

I am sure it will be spelled out what the procedure would be if positive.

Can someone please spell out the exact steps and how it all works in a situation like this!?!  

The amount of capital the GP is investing should be spelled out in the legal docs. 

Create a contract first that spells out who is doing what, who is paying for what, that all permits are being pulled and passed, that you are named on general liability insurance, what happens to everything if/when they move out etc. 

Great question, yes, couple of major lessons learned.  1) Spell everything out. 

I can't speak for NY laws in regard to suing your tenants over the cash... but in terms of your earnest money deposit on your other offer...... it should all be VERY CLEARLY spelled out in the contract.

Conversationally ask what their process is for finding deals that could potentially yield a good cash flow and cash on cash return.There are varying degrees of what I would call "investor-ready" agents, from like a level 0 agent who can't even spell investment; to level 1 where they know the terminology but can't really do investment math and don't understand the approach for evaluating a deal; level 2 where they do know how to evaluate a deal but can only do that on a hunt-and-peck basis with random single listings on the MLS; level 3 is like level 2 but they have an ability to correlate the single listing with a single set of rental info such as through rentometer; level 4 when they know how to take a CSV dump out of the MLS and plug in rental information to develop cash on cash scenarios in Excel; level 5 when they can load a CSV dumped out of the MLS, and another CSV of the MLS rental info, into a database like SQL Server, and run a query that correlates the for sale listings with the rental listings by either geocode or subdivision, and then sort the result by the calculated estimates of cash on cash ROI.