I am aware of many agents who have wholesaled deals, some of the biggest wholesalers in this market are licensed agents, ethically it appears no different than double ending a transaction which is a very popular tactic used by agents to squeeze every cent out of a deal.

I think my biggest worry is if the extreme high occupancy drops for whatever reason, then this property comes into trouble pretty quick...  

One might say, on the upside, that they can provide one of the biggest benefits to a community, however.All else equal these types of projects typically take longer, as well.

Biggest thing you've got to do when you self manage is set the tone for the tenants that these are the rules & they are enforced 100% of the time.

That's why it's turnkey, it's a done for you operation, investor pays retail for the service, and it's a great service for the ideal turnkey investor, but it's not for the value-add buyer in growth phase.The Operation - Economies of Scale & EfficienciesThe bulk buying of properties is an ultimate advantage for a turnkey provider, this is the biggest value-add in the entire business model.

If so, I'm leaning towards sub2 to get the deed under my name and take over the payments, because unless I'm missing something, that just seems way easier than involving a bank/lender.And honestly, if the biggest risk is the lender calling the loan if they don't like the fact that the deed transferred, like @Wayne Brooks mentioned, I can just transfer the deed back?

Utilities are my biggest expense.

Not a bad way to do things, but after watching a few BRRRR podcasts I realized I could not only do it better, but also make a living off of that income.My biggest fear and question is how to do multiple BRRRRs in relative succession without your credit going in the toilet.I know that I can do this, and make a living off of it, but taking the first steps is really scary.

Not so today, but not too far away either...The biggest differences:Conventional - typically a lower rate, no prepayment penalties, backed by the government or agency, DTI, Income, restrictions on property types, restrictions on # of properties owned, require passing AUS, can be difficult for Self-Employed, and heavy Underwriting guidelines.DSCR - higher rate (normally), prepayment penalties with various structures, backed by private investors or capital funds groups, about 1/3 of the paperwork, very laxed Underwriting guidelines, usually no restrictions on # of properties owned, no DTI calcs, no Income calcs, no massive amount of TRID disclosures, etc...Cost-wise (fees and such, not rate), they are very similar. 

What are the biggest challenges if any that other Lenders see on the horizon in 2023?