A common strategy used by investors, such as those operating through PadSplit, involves purchasing the property, completing basic rehab, refinancing, and then using cash for the interior build-out.Another potential red flag, even without converting common areas, is the addition of individual locks on bedroom doors.

One market shift and you're in the RED. 

On the other hand if they are a sponsor that is experienced in stopping a skin in the game, that's a huge red flag for me.c) how open to scrutiny are they?

Housing shortages have more to do with boomers living longer and holding on to their large homes and provincial red tape.

The fact that you've "put over 5 offers on houses since February" and moved to a different strategy is a huge red flag for me.

There’s always demand for rental properties, and with the landlord-friendly laws, you don’t have to deal with all the red tape you might find in other markets.

Every interaction with them has raised red flags. 

Their guarantee to cover the mortgage if they don't rent the property is a red flag, too.

After some time, she finds my personal address in trust and continues to insist I don't own my properties (she is not entering the correct address - there are several towers in my rental and she is assuming one and I own in the other).  

I've heard from local investors in Tampa referencing recent changes and local property managers grumbling about red tape.