We will rent to higher-risk tenants, but they'll pay through the nose to mitigate our risk.

On a positive note we did build a new house to the specifications of a specific tenant. 

@Anthony Bodota welcome to BP in the OC. 

MRFF4236RZI'll add to this as well.

Insurance is higher in the rural areas of SD due to fire danger.

Otherwise you’d have to look into 1031 to avoid those.

However, if I tried to sell this note, I might have a difficult time doing so because there is no open market for selling notes and adding the fact that the note is in default, I might have to discount the note if I wanted to get cash for it.

@Chris Kay it's VERY difficult to cashflow with 0% down purchases.We do 0-10% down Land Contracts and know going in we may actually have negative cashflow - which is acceptable given the low down payment and avoiding mortgage costs.

Portland is one of the WORST places to be a landlord should you have to leave early and you want to rent out your home there.  

You want to show the tenant you are ready to call their bluff.