this is where the deals are .Ones that can bite you though are higher end homes where the previous owner strips them takes every cabinet every door every light fixture basically deconstructs the inside of the houseAnd this is how rental property will look over time in many C D markets just beat to holly heck.It's really surprising (when you first start out) how people can abuse a house and what they will actually live in....It's usually either substance abuse or just a bit nuts....or the worst is when it's both.....We should get all the veteran investors on here together and write a book. 

So its no major mystery that these are not performing as advertised..

I am not sure what the mystery is.

Padsplit residents can cause problems with neighbors and other residents because many have substance abuse and/or criminal histories.

And there is no mystery to it.

Which adds another layer of mystery because if you have so little faith in the operation/venture that equity is a kiss of death, how in the heck could you expect that same operation/venture to perform on the notes...... 

And, being 23, raised in this world, I really don't care about substance, I care about making that $ yo!

This is a classic case of buying in an area you probably should not have and only appropriate for locals who will go to the property the moment tenant moves out remove all the mechanicals themselves and then re install upon tenant move inwhy anyone wants to own this type of asset is a mystery to me..

Why anyone would step into NP notes when there are good performing notes is a mystery to me.

None of my clients do the "co-GP", its a very thin facade...light on substance usually will land both parties under federal trouble...