If you’re referring to the “newbies” with $10k to their name that watch a video by Pace and get excited and pay for joining, go out with their last $5k and do a sub to with a “desperate” homeowner without revealing all the possible consequences (because they are unaware of the consequences through lack of experience and lack of knowledge and or choose not to inform the seller) then I agree, it’s probably going to turn out badly for all concerned.If on the other hand you’re referring to a seasoned investor with excellent credit, significant cash reserves, who wants to add a property to their portfolio without going through loan qualifying, and can pay enough to give the seller “walking away” money because of the low existing interest rates and or, and is dealing with a informed seller, then I find nothing wrong or negative about the transaction.  

It's a 4 family, I just don't want that kind of transactional relationship with any tenants.

We also have one LTR in Wilmington , NC that we bought brand new and have an excellent tenant in.  

I know investing with family can possibly hurt relationships if things don't go well, so I don't want to make any big mistakes since this is a large amount of my parents inheritance. 

That should rarely be the priority in the agent-client relationship and what makes a "good" deal is a relative term. 

Even if you have an excellent team built with plenty of trust, it's really difficult to do this without having lots of face time and rapport building. 

Visit FinCEN’s website for filing details.This post does not create a CPA-Client relationship.

@Chris Seveney and @Stuart Udis and @Jay Hinrichs have posted excellent analysis.  

I've been an excellent student of calculating repair costs and ARV.

As expected the banks I've talked to thus far (that I have great relationships with) are skeptical about funding.