The numbers look great on paper but then reality hits and like you said, you get spit out with a non-liquid asset to shoulder because nobody else wants it.

The rent price is all inclusive and offers utilities, supplies (toilet paper/paper towel), cleaning services (common areas normally).

I'm just suggesting you play it a little safe until you get your feet wet, or you are liable to throw in the towel like I've seen some investors do. 

I tell them what I want done in a check list format, and what I want them to resupply and restock the units with. 4 rolls of tissue paper, 4 water bottles, etc.

(Mortgage 1-4) I recommend you reach out to Wells Fargo.

He asked if we would be willing to sign legal administration papers drawn up by his attorney where we would him rights to the property.

Lucky me, I'm in the 1%.I was just wondering about this very issue last evening as I was copying endless receipts in preparation for my audit next week...can I write off the cost of the paper and toner?

If they are trying to get manual signatures and paper checks then tenants will be turned off just by a bad process.   

I also love YNAB for personal budgeting and use it religiously (knowing your income/expenses to the penny is key to profitable money management), so for the past few months I've increased my savings by pretending I'm carrying a note on a BRRRR and paying money into an account as if I'm in the middle of a 6 month rehab phase.I recommend that if you haven't laid out a business plan yet, grab a pen and paper and start mapping out your goals and how you'll get there. 

If the borrower is weak on paper but states they can pay the mortgage, is this OK because of the seller not having to prove the ability to pay?