You're not obligated to take his solution.I would tell Title you expect your full EMD back. 

For example is a personal loan from a bank is 7.5 % that you could use as a down payment (after its seasoned), and your 401k loan is 4.5% but the 401k is expected to return 7.5% per year the money you save on one end you miss out on the other end basically and if your 401k returns are 20%, then you lose out significantly. 2.

That actually is a benefit, as no one is expected to water the yard.  

@Augusta Owens here's some copy & paste info you won't find in a book:)-----------------------------------------------------------------------------------------------------Recommend you first figure out the property Class you want to invest in, THEN figure out the corresponding location to invest in.Property Class will typically dictate the Class of tenant you get, which greatly IMPACTS rental income stability and property maintenance/damage by tenants.If you apply Class A assumptions to a Class B or C purchase, your expectations won’t be met and it may be a financial disaster.If you buy/renovate a property in Class D area to Class A standards, what quality of tenant will you get?

If you think that is the expected outcome of owning rental property, you should either learn where and how to buy, or invest elsewhere.

I'd recommend interviewing multiple PM's and seeing which one fits your style and expectations.

Be patient with returns – In the first few years, don’t expect huge returns.

And someone jumping into this as a complete newbie can expect that they have a decent chance of making some expensive newbie mistakes.

Expect rates to be higher with CLTV capped at 70%. 

- Trying to meet the unrealistic expectations of newbie investors is tough/impossible for even the best PMCs!