That's where you make or loose $ in sec8. 

If they get loose on a wet day, you will be fixing their hoof damage for weeks....Not to mention the liability.

It is a deal breaker, but I do not want to loose earnest money.

You can tell someone in a classroom how to swim and not to fear the water, but they won't loose their fear until they learn to swim in a pool and have that personal positive experience. 

Feel" the true beat of the portfolio's income and expenses performance before using leverage to speed up the growth of your portfolio.Using cash only will protect your bottom line in scenario's like yours when the properties don't perform as expected as you won't be on the hook to cover the mortgage expenses.Just my bias opinion so take it with a grain of salt.I've also witnessed many finger pointing instances when others get involved.Like a new property manager, realtor, contractor, etc...I've had my share of bad experiences with realtors that threw my company under the bus and got in the investors ear to flog it at any price just so they can make a quick commission.It get's very messy, painful and pretty much turns into a disaster with the investor not knowing who to trust or what to do anymore.Similar to what you post about has happened to me and my company many times and if allowed the opportunity, we do our best to fix and come good.Some loose trust and faith and I 100% understand, but as soon as someone leaves the wing of my company there is not much that we can do because as I mentioned above, everyone else get's involved, has an opinion and the situation get's very messy.Having in-house property management is vital when such a "crisis" arises.I tried out-sourced PM when we first started and it was a disaster.We had no choice other than to bring it in-house.Hated my life for the first 5 years with in-house PM and fast forward 10 years, it has become our "golden goose" and a very well streamlined and beautiful business.From what I've seen and read on the forum and elsewhere it seems like RTR has a good reputation and what you have mentioned seems like a "worst case scenario".I hope RTR will assist you the best they can and all I can say is learn from the experience and don't give up.Do your best to weather the storm and focus on minutia.Don't have regrets and don't spend too much time dwelling on the past.Glimpse into the past to get guidance from what you could have done better and think ahead.Move forward smarter, more experienced and better.Wishing you well and much success with your future endeavors.

Property condition report said that everything was testes ok and in working order other than the HVAC, which are 2 brand new units and have to be started up by the installing company so we would not loose the warranty.

Stunning nature with the Pacific ocean and gigantic Santa Monica Mountain Range out the door with year round near perfect weather.Close to everything from Malibu to Calabassas, Ojai, Santa Barbara etc and within the same 45 min to 1 hour distance ( traffic depending) to 3 commercial airports, namely LAX, BUR, SBA.The university, USCCI is the only one of its kind growing in leaps and bounds while general enrollment numbers are in decline everywhere else along the CA coast.

I could use this capital on a new investment that I could be more hands on with, and it nerves me to think about major renovations or fixes through a property manager that are bound to be needed on a house of this age.I'm just wondering if I'm overthinking it and silly to sell out on a cash-flowing property in a growing neighborhood at a 3% interest rate.Thanks for your thoughts and inputs.

IE make that many out bound calls or outbound mail.

The reason why you have the "squeaks" is because the nails have become loose in the wood and are moving when you step.