I pay 4000 a year in taxes for a brand new single family home I can only collect 1100 a month on....4 months of rent to just cover property taxes,  insurance is another 4000k.... that's 8 months gone.  

They collect a month of rent and then walk away, whereas a property manager has to deal with that tenant for the next year.

The reason is for that amount, that's all the attorneys would do on a contingency basis, and they only charged a fee if they collect on a lawsuit, The customer then asked if I would pay him a few dollars instead.

In particular:(1) Should I hire a law firm or collection agency to facilitate the transaction?

This of course, would need to be defined in their lease agreements and would also require more work collecting those payments.

My goal is to leverage my hospitality background to create unique and profitable real estate opportunities.I’m here to learn from the collective wisdom of the BP community and share my experiences as I navigate this new journey.With gratitude and excitement,

Goals - looking to expand/grow and move out to the next hack or hunker down and collect cash flow? 

The investors would be advised to pool together some capital to retain the services of an experienced securities law firm to do an analysis of whether they have cause for complain, cause for lawsuit, and reasonable chance of collection.  

The second option is that she go to court, where she will lose, you get a judgment for everything owed including cleaning and repairs, and then you send her to collections where it will prevent her from qualifying for another rental, getting a car loan, etc.

Any fees collected by the property manager should be a separate charge and not deducted from rent.