Now if buyer fails to make payments it would be good for Buyer to deed it back to the original seller. 

Wholesalers, driving for dollars, zillow and redfin, propwire, are all great resources for finding deals.I am a loan originator on the DSCR and Hard money side.

Agree with @Gorden Lopes - you will not find the 1% rule for A/B properties in Huntsville/Madison right now unless you score a unicorn of a deal, or put up an enormous down payment to force cash flow.Even C properties right now are not easily 1% rule applicable.  

:Class A Properties:Cashflow vs Appreciation: Typically, 3-5 years for positive cashflow, but you get highest relative rent & value appreciation.Vacancy Est: Historically 10%, 5% the more recent norm.Tenant Pool: Majority will have FICO scores of 680+ (roughly 5% probability of default), zero evictions in last 7 years.Class B Properties:Cashflow vs Appreciation: Typically, decent amount of relative rent & value appreciation.Vacancy Est: Historically 10%, 5% should be applied only if proper research done to support.Tenant Pool: Majority will have FICO scores of 620-680 (around 10% probability of default), some blemishes, but should have no evictions in last 5 yearsClass C Properties:Cashflow vs Appreciation: Typically, high cashflow and at the lower end of relative rent & value appreciation.

I found the home on Zillow originally listed for $574,900.

What documents do they require, what credit scores do they allow, how do they verify previous rental history, etc.?

I had never used this company before, so I went to the original company that priced $8750.09 and asked them to price match.

Original hardwood floors, trim, arched doorways, and handsome, functional, fireplace help maintain the original character of the home.

Original hardwood floors, trim, arched doorways, and handsome, functional, fireplace help maintain the original character of the home.

:Class A Properties:Cashflow vs Appreciation: Typically, 3-5 years for positive cashflow, but you get highest relative rent & value appreciation.Vacancy Est: Historically 10%, 5% the more recent norm.Tenant Pool: Majority will have FICO scores of 680+ (roughly 5% probability of default), zero evictions in last 7 years.Class B Properties:Cashflow vs Appreciation: Typically, decent amount of relative rent & value appreciation.Vacancy Est: Historically 10%, 5% should be applied only if proper research done to support.Tenant Pool: Majority will have FICO scores of 620-680 (around 10% probability of default), some blemishes, but should have no evictions in last 5 yearsClass C Properties:Cashflow vs Appreciation: Typically, high cashflow and at the lower end of relative rent & value appreciation.