In my experience tenants on the lower end of rent tend to cause more damage than higher price tenants.

Possibly lower returns than projected because of statutorily mandated interest rates following court judgements.

Property managers have established vendor relationships and can handle issues quickly.Cons of Hiring a Property Manager❌ Lower Profit Margins – Management fees (typically 8-12% of monthly rent) eat into your cash flow, which can be a dealbreaker if your margins are tight.❌ Less Control Over Tenants & Maintenance – You won’t be as involved in selecting tenants or overseeing repairs, which might lead to decisions you wouldn’t have made yourself.❌ Not All Property Managers Are Great – A bad property manager can neglect your property, overcharge for repairs, or poorly handle tenant relations, leading to unnecessary headaches.Which Option Is Right for You?

If you can’t do a 1031 to a non-income tax state, figure out a year when you will have lower income and tax rates ar as low as possible.

You will hear about west side vs east side, while what is told is true, what is not mentioned is lower class areas are block by block. 

However, if single-family homes prove financially viable, I’m happy to continue building in that niche.Since these homes and projects are significantly cheaper than my market, the risk is relatively lower for me and can do at least two at a time.The ChallengeOne of the biggest hurdles is finding reliable contractors and subcontractors in the area.

Appraisal is where if the value of the property didn't meet the value of the loan, you can negotiate the price to lower it.

Lower risk of wrong product.    9.

Are there any options with lower down payments?

Yes, residential does give me a lower cap rate, but it's more stable.