The added risk of doing a flip at a distance can be mitigated with an on the ground person looking after your best interests. 

That can be mitigated by setting aside "reserves" just like you would for a buy and hold property, but instead, you deploy those reserves into additional notes.I have NOT purchased a performing first. 

In fact I have quite a few clients right now using this exact process to mitigate risk of a market down turn. 

I love to learn about real estate investing and over financial strategies, I believe the only way to mitigate fear and uncertainty and move you to action is knowledge.

I've recently been asked to help mitigate a very troubling rental scenario for a 96 year old relative.

In the recent update of the ADA (which has nothing to do with housing), dogs, trained to mitigate the disability of the handler are the only recognized service animals, with the rare exception of similarly trained miniature horses. https://www.ada.gov/service_animals_2010.htmUnder the ADA, ESAs are not  service animals, and are not permitted in public areas.The Fair Housing Act has a broader definition of "assistance" animal.

Condition does play a factor, but that can be mitigated with price if you're unwilling or unable to fix it up.

Although IRR can be used to compare investment choices as stated above, you as the developer must make an assessment of risk and any associated mitigations to risk in order to effectively compare potential investments.Equity MultipleFirst, the textbook definition: A ratio dividing the total net profit plus the maximum amount of equity invested by the maximum amount of equity invested.

They move out, and you have 100s or thousands of dollars in damage that could have been mitigated had you known early on. 

Eric You can never eliminate risk but you can mitigate it.