I know this is a very old thread but if anyone comes across it I wanted to add some additional thoughts that might be helpful.

Here in FL a pool trumps all and having a spa feature built in offers additional ROI. 

If you have extra money that you haven't earmarked for additional RE I would do TSM index funds for a truly passive investment. 

I won't go into all the details, but there always ends up being a significant problem in the documents I get or don't get, in negotiations, etc, and the trigger never gets pulled.For a variety reasons in addition to the above, including my wife's encouragement, I've decided to take a serious look at going the real estate route instead.

You can assume about 1% in closing costs in addition to commissions so you're starting around 7% before the seller gets any cash at closing. 

So $4,500 of additional costs to have a partnership only to avoid hypothetical risks would exceed the profits from many SFH. 

I'm terrified enough of doing this out of state, so I am not interested in additional complexities with BRRRR.

However, you have the additional question about if and how you might enforce a judgement in another country. 

Here is a list of why adding a single ADU in single family zoned areas in my CA market is typically a poor RE investment:1) The value added by the ADU addition is often significantly less than the cost of adding the ADU.

I created a co-hosting profile as I was looking for additional opportunities.