I would also find out from your friend if they have increased the rent since that tenant has been in the house. 

A single-family home or small multi-unit property can be a great way to dip your toes in the water.Build a Team: Even if you’re planning to handle most things yourself, having a good real estate agent, property manager (if needed), and a reliable handyman can make life so much easier.Learn the Local Laws: Pensacola is pretty investor-friendly, but it’s always good to know local zoning laws and short-term rental regulations if you’re thinking about Airbnb or VRBO.Run the Numbers: Make sure you’re clear on the property’s cash flow potential.

And you do not need a penny to start REI - many people's first investment came to fruition because of friends, family, or even partners.

Do you want tenant-friendly or a hammer? 

@Kate Zieverink McMinn we just hosted a webinar with a friend in Orange County, CA that used to be a public works engineer.

My wife briefly help a friend manage their monthly short term rental in San Francisco while they were traveling and have a few friends that do it.Monthly rentals seem to book pretty well, but not at a significant premium to long term term rentals. 

With fully paid-off properties and significant equity, your options are wide open.I had a friend in Connecticut who ended up investing in Phoenix and he was in a situation much like yours - an inherited property and equity to work with.

I've had friends buy new homes and have more problems due to poor construction than I've had in 'older' homes.

Legal RequirementsIndiana landlord-tenant laws are generally landlord-friendly but require you to be diligent.

A friend of mine in Austin once negotiated a partial buy back option when the seller realized they might want back in if the market soared.. from what I read in Bloomberg, that approach can work well if both sides trust each other.If the tenants’ rent covers your carrying costs, that’s a nice cushion, but you still need to clarify that buy back clause.