Examine all the paperwork.

This deal has been nothing but a headache: tenants destroying units, criminal activity, legal fees, headaches and nerves...Did I learn a lot?

I’m eager to get started and it’s people like you that really help calm the nerves and think clearly.

Rent from any location but examine the street. 

These are the compliance auditors and examiners for institutions generally, this is still a gray area as you may have a small bank officer who has had to self-study through this maze , then you may have a compliance officer from a large institution who has attended formal training, so consider that. 

@Mike Haikin I've never seen septic failure insurance, but that doesn't mean it doesn't exist.Preventive care is the best policy.In addition tanks should be pumped every 3 to 5 years and examined for damage.Nothing except toilet paper down the toilet.No paper towelsNo baby wipesNo tapons, pads or other productsNo garbage disposalNo gasoline, paint, thinner, or any petroleum product.No riceNo coffee groundsNo food scrapesNo drugsNo household cleanersNo condoms (There's a story about somebody having their septic pumped. 

Aloha,The PM/handyman should have closely examined the area for the source of an apparent water leak, and repaired the source immediately.

Here are just some examples:Loan collection reportsAll telephone collections must be recorded and kept on file, a monitoring program and training must be in place.Toll free numbers, payment books or EFT arrangements made, notices of changes of payment or address at 90 days, active accounts with contact information are confidential requiring security measures, accounting software must be verified compliant, there must be a loan resolution program in place dictating how and when complaints are transmitted, issues addressed within the required time frame, offers of any modification noted such as allowing a few more days to pay without penalty is a modification, must be recorded and portfolio servicing records must be on file in good form for examination, I could go on.....There is the law and there are matters absent of requirements or exemptions and there is then reality, you're right, third party servicers are not required for small lenders, compliance with servicing requirements are.

It seems to be hitting some raw nerve. 

Given that this is my first rental (and the nerves are there), this seems like a nice convenience for peace of mind.However I was crunching some numbers and it looks like self managing could almost double my cash flow.