@Seth Mattox it can be done from a distance, but I think the quality of service will be sub-par and it will take a lot of extra effort.

It's easy to obtain, costs very little, and doesn't require extra, on-going effort to maintain.

Collaborating with a local investor can definitely enhance your efforts and provide valuable insights into the market.

Often the equity partner has a lot more risk in the venture (losing all the investment money) where the work partner could walk away with the loss of time and effort.

@Ashish Acharya thank you for your response, but I feel I'm still missing/misunderstanding something - you said "the IRS allows spouses to combine their time for material participation purposes", followed by " only one of the spouse's hours counts for the REPS status, which means only one of your efforts can count" - which one it is?

It's hard when lower balance loans like this because the flat fees like processing and underwriting seem high as a percentage of the loan, but the reality is that it's the same amount of effort (generally) to process/UW a larger loan and a smaller balance loan.

We embrace S8 applicants, but screen them just like any other applicant.Many have an entitlement mentality and try to leverage their S8 voucher by pretending to be helpless:1) A percentage won't apply because they expect a landlord to waive application fees for them.2) Many cry broke and expect a landlord NOT to charge them a security deposit.3) Many of those same S8 tenants trying to avoid paying a security deposit, won't make an effort to call the list of nonprofits we send them that will pay their security deposit if they apply.4) A lot of them try to avoid paying for utilities.

Key takeaways include being flexible and open-minded, using house hacking to build wealth, leveraging previous profits and equity wisely, seeing potential in properties with deferred maintenance, and patience and compounding efforts.

Even if there was something there, they headaches and costs of going through a lawsuit likely to quickly outpace the $40k that is at risk (any good attorney will tell you it isn't worth the effort).  

It's easy to obtain, costs very little, and doesn't require extra, on-going effort to maintain.