Plus the worst thing is when you are 2 -3 years into a deal and something happens with an investor (death, divorce, bankruptcy, etc) and the agreement isn't clear on how to handle it.

The buyer win the case; but then the seller files bankruptcy.

I use the BiggerPockets tools to analyze properties a few times a week, but I feel that I might need to start looking for foreclosures, bankruptcies, or something of that nature as the price for the homes in my area on the MLS are listed way above what would result in decent cash flow given.

BTW someone willing to pay rent above market rate is a high risk renter for some reason--felonies, past evictions, bankruptcy, poor credit, no or not enough income, or way toooo many people, or history of damage, professional scammer, etc.The landlord would not even be holding the lease to evict the folks you rent to, not have their deposit for damages, or any relationship with the tenants to recover damages in court as the tenants lease is with you.  

It's not a matter of if BK files for BK, it's a matter of when (the pun there was that bk can stand for Burker King or Bankruptcy, in case you missed it).There are, absurdly, about 600,000 licensed or registered mortgage loan originators in the United States.

Hello- I have a couple whose combined income is 6x rent and one spouse recently had to declare bankruptcy from a previous marriage.

@Jay Hinrichs they have not had an eviction but there was a bankruptcy just over 7 years ago so technically "off" the record now.

- Current tenants credit is shot due to a bankruptcy 5-6 years ago. 

If you don't have any bankruptcies in the last 3 years, no foreclosures in 5 and you're less than 2x30 on your current primary residence with a 650 middle score or better, lots of people will talk to you; not Fannie Mae lenders so not Fannie Mae rates, but lots of people will talk to you. 

How many bankruptcies can I have before I’m considered bad credit?