I make sure I screen each potential tenant thoroughly (background and credit checks) and require references.

@Michael PlaksI’m not sure if you’re just trying to be controversial, but it’s clear everyone agrees this requires careful planning with a qualified professional.

If the owner does not meet that residency requirement, another human being must be identified as the local agent in charge.

So it was going to require more tenacity by you to get the deal sold either way.  

If scaling quickly is your goal, DSCR loans are a great tool for the refi portion since there’s no 12 month seasoning requirement like conventional loans, and DTI isn’t a factor. 

Please correct me if I'm wrong.You can require them to have insurance, but you cannot require them to purchase from a specific policy provider.

Private notes require more work than Stocks / Bonds, is the added return worth the extra work?

These deals typically require larger cash outlays (50k-100k) per deal minimums.

Right now there's huge concentration, but as this continues to build out and we see north of the high 30s GW by 10 years from now it'll be almost a requirement to keep some type of locality based risk assessment and to diversify. 

We review yearly with our CPA who files the necessary forms.By law, IRAs require a custodian.