The 1% "rule" is not a rule, it was a simple guideline that was supposed to help do a quick initial vetting of a deal.

Having a property manager would alleviate the initial call but not the actual event or my need to deal with it.

If so, how did you approach it initially?

Use your $30k for down payment or initial rehab but budget extra for unexpected repairs.Your lead methods (D4D, DealMachine) are strong.

The LLC is just me and my wife that owned the initial property so that wouldn't be an issue here. 

Initially, our plan was to fix the drywall leaks, clean out the property, and relist it for a small profit.

Funny thing is the 100% tuition reimbursement thing was only limited to 5 people at the initial sales pitch event.

Initially, our plan was to fix the drywall leaks, clean out the property, and relist it for a small profit.

I currently have a bank account dedicated to my first property which I hold in an LLC, and I'm planning on paying out of pocket for the start-up costs initially but I wasn't sure if creating new savings accounts under my first LLC's Bank constitutes a comingling.

My duplex - built 1989, 2,060 sf, 2 bed/bath, 1 year old roof, value if I subdivide (county already approved) and sell each separately $150k each ($300k total)Investor duplex - built 1995, 2,300 sf, 2 bed/bath, 5 year old roof, value around $310kThe investors initial request was for an equal trade and they would pay realtor fees, which I replied wouldn't be equal due to buying/selling costs (recording fees, title insurance, closing fee, survey, inspections, loan fees, 1031 fees, accountant fees, repairs), taxes would increase due to new sale price, I'd trade a 3.75% mortgage for a higher one, and I'm on the 10th year of a 30 year loan so resetting that to a new loan would restart amortization and pay more towards interest.