@Maria D.It will be very hard to cash flow at a price point of $550k because you will need to collect $5500 in rent or more per month.

I have a property management company that I pay 10% so $100k.As the property management company manages the property like the leases, finding tenants, repairs, maintenance etc do they collect the $1m paid to their bank account and I trust that they only take a $100k cut and pay me $900k or can I instruct them to set up the online service where all the rents are paid to me so I pocket the $1m then pay them $100k?

I have a property management company that I pay 10% so $100k.As the property management company manages the property like the leases, finding tenants, repairs, maintenance etc do they collect the $1m paid to their bank account and I trust that they only take a $100k cut and pay me $900k or can I instruct them to set up the online service where all the rents are paid to me so I pocket the $1m then pay them $100k?

Well, I'll quote FannieMae.com directly here:"Borrowed funds secured by an asset are an acceptable source of funds for the down payment, closing costs, and reserves, since borrowed funds secured by an asset represent a return of equity.Assets that may be used to secure funds include automobiles, artwork, collectibles, real estate, or financial assets, such as savings accounts, certificates of deposit, stocks, bonds, and 401(k) accounts."

I'm considering the later route for some of my accounts that are in collections status.

Ugh, I hate water issues.Anyway, resident understands that the fix isn't immediate and asked if he could get a reduced rent for his subpar living conditions (collecting the water at the two windows, cleaning it up, keeping belonging away from the windows, etc.).

Listen to some pitches from investors, vet them out, then Sit back and collect my $ every few months?

Also, if it is truly in a rough area, you may have a hard time with collections.  

So even though the cash flow is about the same the amount of capital needed is much higher.A lot of my clients are Doctors and they would rather own STNL with a single tenant and long term lease where they do not do anything but collect a check.

A limit here could have unintended consequences--such as a family who wanted to pool their money to invest in a deal run by another family member--they might be prohibited from accomplishing their collective objective if the regulation limited each family member's investment.