If it helps the thread, I am particularly interested in Massachusetts regulations. 

Following complaints from landlords it was renamed the Landlord Tenant Board however none of the regulations were changed to aline with the new name.As a word of advice to new landlords when a tenant does not pay rent on time it is imperative the landlord serve the tenant immediately (as in next day).

California is one of the most difficult states because of all the regulation so you don't want to take on that responsibility as an amateur.

They should have started the pay or quit and eviction process on November 2nd when rent was not received on time.Your friend needs to take the time to sit down and learn the regulations governing his business.

Your first step is to learn your state landlord tenant regulations.

You never give reasons or details and if questioned you simply state that you do not release that information.Unless your state regulations state otherwise they are not entitled to know and to protect yourself legally you never say anything to rejected applicants.

What is the difficult situation, tenants not paying rent is common and the process to deal is far from difficult.Work with the guy, but for peat sake begin the process of giving the pay or quit notice asap according to your state regulations.

Hire a lawyer to assist in the purchase and to review the HOA financials and regulations pertaining to investors.Buy with minimum down/maximum leverage if you hope to gain true positive cash flow.Dead equity and HOA fees will seriously cut into your cash flow and turn the investment into a liability.

The question is what do your state landlord tenant regulations say.

Your real estate agent should be able to guide you through the FHA regulations fairly easily.