. :)@Wayne Brooks -  Excellent tip.

Inspections should be accompanied by lots of photographs so don't take peoples word that one was completed.I would be more worried about why there was no security deposit (bond) like you mentioned above?

That's an excellent idea.

Hey @Jason Schimer, I think this is an excellent post.

BP is an excellent resource.

I believe an FHA loan requires you occupy the property for at least 12 months. while you need to double check this, if accurate, it means at month 13 you could buy another place, FHA insured at 5% down, and pick up a second property. that is a strategy you could implement over a number of years if the math works. as for a multi-fam that allows you occupy one unit, vs. single fam house or even condo, it just comes down to math. there is nothing wrong with having a friend or random occupant rent a bedroom from you, as long as the rent reflects fair market value (so I don't agree that charging a friend rent "could strain the relationship" - unless you're over charging of course). beyond all that, it is absolutely critical, obviously, that you screen your tenant / roommate rigorously - and living with "friends" isn't always a good idea. create an excel spreadsheet of these three verticals, any others I may have missed, with math predicated on what your local market reflects and feedback from lenders and see what it looks like. 

There is an excellent group of investors here in Indy!

@Nicholas Natale , you got some excellent advice here, but what is missing is to make it explicitly clear that they are NOT to paint the other rooms the colors they chose.The best way to go about being a landlord is to focus on your communication.

Excellent choice!

I hesitate doing a short sale as I have excellent credit and would like to use that to my advantage as an investor, so I’ve essentially felt stuck in this condo for almost 10 years now.