Her credit is that low because she is financially irresponsible.

Tenant quality is extremely low even in so called C areas.

Risk entails everything from lawsuits to lack of diversity in investments to low rates of return to high exposure to vacancy (more units theoretically lowers vacancy exposure).

It’s on a quieter street, low income area.

While that's certainly not ideal, my leverage was low to start with and my loan maturities were ten years so I have staying power to sell into a better market.Looking ahead, anything I'd buy would have to cash flow out of the gate in a higher-rate climate. 

Can you lease an apt under USDA low income and have someone else live there???

I have actually cashed out a lot of my IRA now bc I have so much depreciation from RE that my tax bracket is very low and the taxes to pay on the IRA withdrawal are also pretty much non existent (taking aside the penalty). 

A property could be cheap but be located in a low performing market.

Down payment of $13K including reserves sounds pretty low to me . ( Based on Maryland )

Safe to say that many punters who invested in low cap rate syndication deals, especially during the peak of the hype, are getting schlonged right now.