It's an estimated cash on cash return given current rental rates subtract expenses assuming 7% interest rate, 10% management fee, 5% repairs, 5% capex and other expenses like mortgage, insurance, tax. it's a estimate to tell you what properties to analyze vs ignoreyou can see the are pockets of negative returns as well as pockets of positive return. this is to supplement the data @Devin Conley provided

An option is an encumbrance, buy the property subject to the option at a lower price, if the optionee buys, you sell, if not, you still win.A deed in lieu of foreclosure can be had after the note is purchased at a discount.You can buy the note at a discount and have the owner refinance, same with installment contracts. 

Lease Terms: Determine a monthly rent payment that covers the HELOC repayment (interest and principal) while providing some positive cash flow for you.                    

Hi Jimmy,Thanks for the feedback, we have considered Columbus in our analysis and while its great option considering how well the appreciation amounts, i doubt we would find a multifamily in our budget within  those appreciating markets.

Like Jay said, there can be more flexibility in repayment options. 

I would appreciate any positive or negative comments on your experience with this investment opportunity. 

Additionally, regarding the legal structure, an LLC seems to be the most suitable option for our situation.

Offer aid and housing options if you're able -- don't try to profit. 

Sounds like there are more than just 2 options. 

Some, like ours, focus on offering optional services such as renters insurance or washer/dryer rentals without requiring tenants to opt into a full package.When choosing a property manager, I recommend asking about the structure and purpose of any fees.