I would advise running your rents conservatively and vet property managers properly before signing anything.

Besides frozen pipes in the winter, there's also sump pumps that if not running, could flood a basement and cause major mold damage. 

Now, I run a PM company.

Run the numbers using commercial 25% down and Fixed P/I of x.x% with 5 year balloon and 25-year amort. 

In the markets we deal in, numbers can kill deals that would be home runs elsewhere but a 2x4 costs about the same in both (just the sales price does not support a rehab that would be middle of the road in a place like CA.

If you are originating more than 3 licenses in most states you need to be licensed. servicing will run you abour $35-$50/mo per loan.

- Suggest you Google "Amortization Calculator" and run a few scenarios to open your eyes!

As Alex mentioned (thanks Alex), I run the Santa Barbara meetup.

or investing in CA.finally - here's some more context on how challenging things can be.https://www.biggerpockets.com/forums/963/topics/1195280-expe...https://www.biggerpockets.com/forums/48/topics/1160450-run-i...https://www.biggerpockets.com/forums/48/topics/1137397-balti...https://www.biggerpockets.com/forums/52/topics/1010977-12-00...hope this helps. 

It's definitely tricky because you want to be considerate and you are also running a business.