Of course we all want cash flow but if the property is in a very desirable area with a high probability of appreciating quickly over the next decade or so I'm fine breaking even or even paying a little out of pocket every month.

What you use the cash out for, as long as it is for business purposes, is fine. 

If you can afford to hang on to it, do some value add and be okay with less than ideal cash flow for the first few years, you should still do fine, but most people want that instant cash flow.

The BP calculators are fine, the 50% rule, 1% rule, 70% rule, etc.

@Matt W.I think the benefits for the 1031 is obvious, especially since you are carrying a bunch of deferred tax liability.Its fine to change your investment tack. 

In summary, everything is completely fine for STR’s out here.

I'm sure you're going to be fine. 

First, you could ask him to sign a lease in which it states that he can be fined for unsafe acts in addition to other things you deem unacceptable.

If you don't have to sell if they stay where they are or even go higher, than you should be fine. 

For me with my PM as long as it is transparent what my fee does cover and what is extra, I'm fine with it (and my PM is very transparent-they list it on their website which is one reason I went with them).