The downside, of course, is that you aren't making any cash flow while it's being built and you also want to be careful who you work with so you don't lose your invested money to a runaway developer.

The upsides: investor credibility (SEC qualification is very detailed), access to accredited and non-accredited investors, ability to solicit using advertisingThe downsides: costs about $100k to get to the "start line".

I would say it’s growing as the surrounding areas are starting to become overcrowded so really the main downside to it was the school even though the area is up and coming

the people you bought from should have given you the tenant information, the current leases and most importantly the deposits they had in "escrow". on top of that some states or locations have first right of refusal for tenants, if you are in one of these areas, and your tenants were not approached beforehand be careful you may have a future problem. so once you do have all the information you need and you're ready for the next piece, i like cozy.co, it lets you manage remotely and accept rent payments online. one downside is cozy does not allow cash payments, i like this feature but i understand in some markets it is not feasible for tenants to pay anyway but cash. if this is the case i require my tenants to deposit the funds directly into the bank account and this is what counts as payment. it's nice because it also provides a receipt, and you don't have to track them down or work along their schedule to collect. 

The downside is that you will be getting commercial loans rather than residential, and you will have higher down payments. 4.)

The downside to those is that the public schools are not the best although they are improving greatly.

I feel like investors view the FHA as a great tool when you're starting out to get into properties but I feel like the downside is the higher payments kill cash flow and/or the ability to offset housing cost in a house hack situation.2) As you begin to scale past your first few properties does it become more difficult to get loans because your debt to income ratio becomes worse.

The down side is that it also makes you vulnerable to being completely wiped out, if you're poorly running your real estate investments.

Downside: Double NAT (2) will likely occur, which can be a problem for some guests esp gamers or remote workers that will have specific internet issues with port forwarding

And while the downside risk for passive investors is limited to their initial investment, general partners take on unlimited personal liability and open themselves up to potential litigation.