We have all heard horror stories of it happening and in these horror stories it is not the host’s fault.  

Also im pretty sure he promotes section 8 rentals and gives you a story with rose colored glasses.

We have increased our monthly rent to price ratio from your ~0.75% to 1.1% but the leverage ate up all the extra cash flow (even if the total return is likely higher).You could be a cash buyer and go from your one property to 20 and cash flow 20000/mo but you are still having to buy and manage 20 properties.You can do better on the total cash flow in other markets or rougher neighborhoods, but the story is similar: you are getting an extra ~25-35% in income for 20x the hassle.

A house is a totally different story.

This is a similar story for house hacking a single home and renting by the room. 

Let me tell you a little story, I bought a property about 40k-60k under what it would go for if listed on market. 

Search the forums here for these kinds of stories from landlords.  

Purchase price: $232,000 Cash invested: $200,000 Sale price: $575,000 I purchased this single-family property and undertook extensive renovations, including excavating a new foundation and reframing the entire two-story house.

I heard so many horror stories from hosts but I have never had an issue, knock on wood.  

Thanks for sharing your story—what strategies are you using now to prepare for calls like that?