.- increase in vacancy to 30%, 40%, 50% (this could be a combination of bad luck: one unit water damaged, one unit tenant trashed, and you have to evict two more - on a 10 unit portfolio that would be tough, even though only temporary)- lower rents (for whatever reason, what happens if rents go down 10% or 20%?)

Speaking of iteration, allow me to share with you the iterations and processes we go through in our Multi-unit Acquisition Program: After a client gets pre-approved for financing, we go through multiple deals to find the best ones that meet our metrics.

That company, hopefully, manages a lot of similar properties to the one you are investing in.2) I can't speak to this GPs vetting process, but it is 100% the GPs responsibility.  

Obviously tough to give advice based on minimal info and no info on your personal situation.

Though, this process will be the same for the other state (if you created a CA LLC you may need to register it as a foreign LLC in the state in which you are doing business/holding property).

Then start analyzing deals so you get comfortable with that process.

I am in the process of closing a 1031 DST transaction with a "flat fee" broker.

I am in the process of vetting property managers and they are int he running.

Be more thorough with your turnover process.

Philly is a tough animal.