Solid cash flow ($100+/door/mo) will protect you from many unexpected events and at this point anything is unexpected since no one has a clue what is going to happen in the next few years (or even the next few months). 

Saying "I see a recession on the horizon" is like saying "I see bad weather in the future" or "something unexpected will happen next month" or "someone close to you will die".

As part of that, I'm trying to figure out the best way to go about a home inspection so that there aren't some major surprise costs that will make the deal bad.I have 2 major questions:1. what are the necessary components of an inspection for a rental home (I want to do the stuff that will avoid big expenses down the road and will avoid law violations but nothing extra or unnecessary).

(I think I could maybe increase rents down the road for having it too though so that may offset)- My PM mentioned that "Unfortunately this is a major component... could be grounds for your tenants to withhold rent payments".

So for the rehab, the plan is to replace all of the major components of the home: New HVAC unit (with additional duct work), new roof, new pool equipment, and an expansion of the driveway.Smaller items will be to redo all of the bathrooms, frame up walls to split the home in 2, and a new kitchen in the studio.Final Thoughts:    I hope everyone enjoyed this original post.

'Granted they don't fully advertise that they are investors, or have an RE investor component to their skillset.  

I am currently house-hacking and there are a lot unexpected expenses that I have dealt with and it's only been 6 months now!

It would work - but the market (yes I am invested there as well) can be unexpectedly volatile (COVID is a good example - my portfolio dropped 28% in a week).

Not saying you should run your business out of fear, but it is a real world component to consider

You can't really go after the selling realtor or the government seller over an unexpected issue on a foreclosure, the contracts you sign are completely one-sided in their favor.