Personally not a fan of out of state BRRRR.I think it's a recipe for disaster and having been in the game for 10+ years, I've seen the disaster first hand as I bought hundreds of deals from disgruntled out of state investors who thought they can do it themselves.My property management company has doubled in 12 months also due to out of state investors getting caught with a poor property manager when trying to do it themselves from afar so they come to us for help 🤷‍♂️I'm seeing many investors buying D class crap on the MLS for too much and that needs work.They end up being into the property for 30% more than they would be that if they just bought turnkey.A true turnkey provider will find the cheapest/best deals through a variety of acquisition methods, renovate well and sell for fair market value (And manage in-house).If things go South, they are solely to blame and the penny drops with them.But with DIY, who is to blame?

Is this a fairly common occurrence?

@Rob Dold    I buy a fair amount of tax deeds and I'm less interested in title search than lien search.   

I cannot communicate with the tenant (except maybe via letter).

Fair warning -  it is death by 1000 cuts while you furnish a place to make it market ready.

How do they communicate with you about repairs and such?

If you make certain your buyer is pre approved, the documents line up, and you keep good communication, the selling side has never proven to be difficult to me.With that said I agree with @Rick Santasiere in regards to scaling up.

Most of the time I've been taught are that lenders are just people who are willing to get paid as long as you meet their criteria, nothing elseThank you for the feedback everyone, I will try and communicate better the next time I post 

You have to now include the extra time spent communicating issues, invoices, etc..with the property owner.Whether you do it or not is not a right or wrong matter, but you need to understand why you are doing it and if the extra cash will be worth your time.We have always turned down the requests to manage other people's properties, because I feel like the amount of money I would receive from managing someone else property would not be worth the time to me.  

There's a contract in place and that decides who gets paid what- you don't have to like it or think it's fair, but it's a binding document.