You'll probably want to do some more digging on these tenants before accepting them.6 adults and 4 kids in a 4/2 home is a red flag itself.

I love it for the guaranteed rent, tenant stability, additional accountability with the housing authority and large demand for Section 8 housing without enough supply.With strong screening, I'm able to find great tenants and Im not owed any rent.Cons you will often hear is that the tenants are harder on your properties (doesnt have to be the case in my experience if you screen really well), the Housing Authority is a pain to deal with (this depends on a couple things - how well run your local PHA is and how good you are at handling process & details) and the extra inspections/red tape make the niche unprofitable (see what I said above about Housing Authorities).Done right, I believe Section 8 is one of the most stable & profitable. 

If there are issues with these items are these major red flags?

What are the red flags and concerns?

But the red tape and the inability to scale due to the way mobiles are purchased and then not having boots on the ground where I was targeting were just too many obstacles to overcome in terms of risk.But the numbers were there. 

And thats a red flag. 

Do not want to put anymore capital such as a $140k cost of foundation further putting us in the red so considering selling this money pit as is or holding on for creative ways to make this house profitable.

I am working on a website right now that will highlight data from the SEC for those funds that have red flags.

Compound that with a squirrelly seller and tenant, and you’re not just seeing red flags, you’re being beaten about the head and shoulders with them. 

Example: A backsplash that is a different color from rest of the kitchen (a warm green or red against white and grey walls), a tile that has a unique look or pattern to it, crown molding on cabinets, or a unique light fixture.