It’s worth considering the trade-offs between the stability of income and the increased oversight and hoops you'll have to jump through.

See the chart from Fair Isaac Company (FICO) below: FICO Score Pct of Population Default Probability 800 or more 13.00% 1.00% 750-799 27.00% 1.00% 700-749 18.00% 4.40% 650-699 15.00% 8.90% 600-649 12.00% 15.80% 550-599 8.00% 22.50% 500-549 5.00% 28.40% Less than 499 2.00% 41.00% Source: Fair Isaac CompanyAccording to this chart, investors should use corresponding vacancy+tenant-nonperformance factors of approximately 5% for Class A rentals, 10% for Class B and 20% for Class C.To address Class C payment challenges, many industry "experts" are now selling programs to newbie investors about how Section 8 tenants are the cure.

why do people pay $20m cash for a manhattan condo?

Section 8 refers to a voucher that some people use to pay for their housing.

So it ends up being not nearly as much CE as people think.

If you like impacting the nation by providing affordable housing you can really put people in houses here.

Sure, they may be able to grow to a very moderate size,  add a few units, or trade up to a larger investment, but as for real scalability: NO.Why?  

As other people mentioned the areas do change pretty quickly. 

Make sure you do business with people you have vetted and are confident they will get the job done. 

When I come back maybe 2 or 3 years ago, I noticed a lot of people here on BP are talking about syndication too.