I am aware of the properties at Wolf Run in Reno NV, Inspire on 22nd in Austin TX and Hayworth Tanglewood in Houston TX that have suspended their monthly distributions.

Insurance being canceled due to the area and finding insurance for it.

but with that said - a lot of new investors to the site will come on and say they 'found a deal' that they're 'going to BRRRR,' and it's just a property listed on Zillow at 99.2% of ARV that needs to be painted. 

Why do you need the RTO money for the down payment? 

If so invest locally, gain experience and knowledge, scale up and go from there. 

However, if the deal is average, waiting to house hack could provide a better foundation for your portfolio.

They have a very high risk of ending up in a lawsuit if you ask me.

He can extend an additional loan to the borrower, especially if the borrower has additional collateral to put up.  

I wrote the above for informational purposes.

Quote from @Chris Seveney: Quote from @Eric Henson: Do you guys ever take the risk of buying a foreclosure at sheriff sale with the previous owner still living in it?