As a new investor, a duplex gives me some pause because I'm afraid there might be long periods of vacancy where I'll have to come out of pocket to cover expenses.

Can try to reposition to Class B, but neighborhood may impede these efforts.Vacancy Est: Historically 10%, but 15-20% should be used to also cover tenant nonpayment, eviction costs & damages.Tenant Pool: majority will have FICO scores of 560-620 (approaching 22% probability of default), many blemishes, but should have no evictions in last 2 years.

In the process, you will be covering the tab for some nice family vacations  for whomever you hire to set up this structure.....My advice to anyone who wants to spend on anything beyond an LLC in the state in which they live or where the property is located should first be able to articulate the following:1.

Damn, wait just so I understand -- Buyer's agent stuck with 3% and buyer paid $10k more to cover that.

As for a information to specific grades for neighborhoods, you may struggle to find that as it can be fairly subjective.

They underwrite much like conventional loans and over condition for things that have nothing to do with the subject property and often make a mess of the entire DSCR process. 

Insurance would cover it, I would pay the deductible, and no assets would be lost.If you are in an area like San Diego where people are more likely to sue, a judge is more likely to find you guilty, and the payout is likely to be higher, then you may consider an umbrella insurance policy.

This is how we make a living and cover our bills . 

I have a LOT of experience with subject to , dating back to the late 1970s early 1980s.I’ve spoken about the history of subject to, the St Germain Act, etc., but what’s relevant today is 1.

@Chris Berry - I wrote a blog on exactly this subject.