@Chad Johnson...I am much newer to REI than you...In fact I practically know nothing. 

I would also check with a lawyer in your area to verify the legality of these practices there.

I don't think you EVER need to rationalize your business practices to a tenant who's behind on rent.

Hi Nicole,There is a lot of information about you and the deal that are not in your post but I would suggest that an 8 unit coupled with college rentals may be a bit much for a brand new real estate investor.Yes, you have to jump in and get your first deal under your belt but my feeling for new investors is to start small and safely add practical experience to your educational process.

Jerry:In our practice it's a pretty simple determination.  

I have been scouring the usual places (wholesalers, foreclosures, Craigslist, etc...) and working on SEO for lead generation. 

Understand that just bc you have a website doesnt mean anyone will find you, you will need to have it around for a long time and most likely need to hire a SEO expert to help you with your search rankings. disclaimer - I am not trying to solicit you by any means, just showing you the work I have had done by a freelance company.

We had a top notch business attorney set them up because we have two family partnerships and needed the LLCs for defining our business practices and for determining the course of action if one of the parties should want to sell out or died.  

Patience is a true virtue practice it.

I used to live in Fort Wayne, but I don't know anyone who practices in real estate there.