I have grown insanely skeptical of BP over the last 5 years, yet somehow I am trying the lead generation for both property management and now as a featured agent.

Since it’s a new build, I was able to negotiate some great perks, like a 5.875% interest rate, no closing costs, a fridge, blinds, and even a backyard firepit.Pros:Good school districtLow interest rateMinimal CapEx and repairs (because it’s a new build)Low insuranceHigh-quality tenants (due to the school district and being a new build)Cons:Lots of new builds in the area, which could drive down prices and increase vacanciesThe Numbers:Price: $290KInterest Rate: 5.875%Down Payment: 25%Monthly Mortgage + Insurance + Taxes + HOA: $1,480 (I got really low insurance since it’s a new build and Alabama’s property taxes are low)Property Management: 10%Rent: $1,800 (this is under market because I wanted to rent it quickly—most units in the area were sitting vacant for 100+ days.

we are still assessing the rentals we manage but overall are just finding a few minor issues so far. 

Quote from @Bruce Woodruff: Well, no one else has mentioned it, so I will......what about the current LA fires and the ongoing mis-managment of the forest and brush?

This is the foundation of why LaPlante Real Estate is based in portfolio management and property management... my personal portfolio started in 2009 and I find the majority tends to be Section 8. 

Investing in AZ, NV, ID, where you have family or friends that is a day away and you can start to build a network and team to help manage a property.  

Plus, if you self manage you could wipe much of those taxes out with depreciation. 

REI investing for almost 20 years, owning a wealth management company for 22 years, suffice it to say there has been a lot go data/spreadsheeting/tax analysis/meeting with my team go into this overall decision to sell the entire portfolio at once.  

@Alec Barnes As the owner of a property management company in Texas, I completely agree that a solid screening process is essential for placing quality tenants.

You can be an agent, property manager, service provider, etc.