Multifamily investors usually look to balance risk and return - usually picking either B or C neighborhoods to buy rentals in.

I agree on the professional partnership with my parents and I’m looking to discuss more with them to find the right balance!

Do not forget to prepare the balance sheet, track distributions etc.

Specifically I now track month end account balances, maintenance expenses and have a detailed list at my fingertips of the tenants that are late on their rents.

Plan out what you think your loan balance will be at the end of the loan period and calculate a new interest rate versus the old to see what DSCR ratio will be.

It's a balance of cashflow and wealth accumulation.One of the goals is to have tenants pay as much of your cost-of-ownership as possible (loans, taxes, insurance, etc.)In high-cost areas, any Class A or B property you buy will usually negative cashflow for the first 3-5 years, until rents rise enough to cover the negative cashflow + rising taxes & insurance.Investing OOS increases your risks because you may not know the market and you can't check on everything/everyone all the time.If you move forward with your buddies, HIGHLY recommend creating a solid Partnership Agreement!

I'm genuinely asking to understand the use case for my self for an individual investor.Re. balance, as someone who is a former CPA and has prepared financial statements for multi-billion $ funds, I understand the important of a balance sheet.

$1,200,000 purchase price and the balance for closing costs, repairs and reserves.There are ways to obtain financing in Mexico, but most sellers are expecting cash deals.

IME (in my experience), you would charge a fee (say 50-100 basis points) to the banks/investors, often times based on the either the commitments or the outstanding balance of the fund. 

In evaluating seller financed notes, there is always a balance between redeeming and non-redeeming factors.