Hi Adam, just one caution on the property management side: JP is the happy valley of renting right now...valuations and rent are at all time highs, most renters are solvent (half would love to buy there is just too little inventory) and the more transient tenants love the neighborhood too and have an unusual investment in its quality of life with the festivals, green space etc. 

Just be really careful here. 7% is NOT a good rate for this deal at all, and youre going to have to generate a massive amount of gross income each month to stay solvent.

It really was a simple steam/solvent cleaning and grout replacement fix.

This may help you https://www.attorneygeneral.gov/wp-content/uploads...I did some quick reading about Pa contractor requirements , looks like its just fill out some papers pay some money and you are a contractor .In Maryland you have to take a test , be financally solvent and there are requirements as to what the contractor has to state in the contract . 

Essentially, they are going to want to see that your company has a history of paying out the distribution annually and still be solvent.

Markets can stay irrational longer than you can stay solvent, comes to mind.

Those that were experienced booms where, for example, real estate that was worth maybe $100,000, such as a polluted automotive junk yard, went on  sale for over $2 million because it was zoned "Industrial" allowing use of volatile solvents for manufacturing (one type of cannabis distillation). 

I've heard people refer to the return on T-bills as the risk free rate, but even that's contingent on the government remaining solvent :)There's no way I'd go through the trouble of operating income properties for a 10% return either.. and I'd like to assume most others wouldn't either.. although seeing some of the price to rent ratios for recent sales around the nicer suburbs in my area makes me question that assumption sometimes...All in all the thrust of the argument was that a reasonably competent investor should not have much trouble securing, at the very minimum, a 10% return on their capital without taking on excessive risk or administrative burden. 

This matters because if I’m getting financing, or to ensure the association is solvent.

Please show me your bank statements to provide some amount of assurance that they have some number of months cushion so they would continue to be solvent in the case they get sick or in some way can't drive / perform the activity.