The car company is going to repossess the car if payments are not made.  

Both working okay/fine paying jobs, both worked through school so no student debt, driving old cars so no car payments

It's automatic, doesn't give tenants chance to argue or give sob stories, and manage how payments applied.

I like to listen to them in my car when I'm driving to properties and I can get through about 1-2 large size books a week if I'm really focused. 

If you're a single mom with student loans, a car payment, and living paycheck-to-paycheck, then $20,000 would be devastating and a reserve is critical.

I bought a salamander heater once and it came with the cutest little mouse I've ever seen who decided he liked my car. * Woot.com is Amazon's bargain basement and there are deals to be had - like a 250 basement dehumidifier.

I am looking at around $400k but also looking to add around 1000 sqft and preserving the 2 car garage. 

If you reported less than what they think you should have - expect an automatic adjustment, a letter or even an audit.Since in case of private money you as an investor act similar to a bank paying interest to the lender - should you send your private lender form 1099-INT?

It falls under the automatic consent procedures, so it does not need approval - it could still be audited though 3.

When the wolf is at the door looking to bite you with your required daily activities and life's problems, you will need to switch gears like a race car driver really fast and deal with those problems- taking whatever time it takes to make them right.