I recently noticed they are no longer paying out the security deposit.

Sorry. I didn’t mean to double post but I can’t delete the forum.

Hey BP, I’m looking for any advice that an amateur investor like myself can use in order to locate and determine a less expensive market in my general area where I can purchase and rent out my first property. I...

The home is used as security for the debt.

Is there a security deposit?

But if you have a hard time getting a portfolio loan then you might try getting a business loan or a business line of credit that is secured by the equity of those properties.

The home was occupied at the time by a tenant and the property manager had collected the tenant's security deposit before I closed on the home a month later. 

Unlike passive rental income, the income from an active trade or business is subject to self employment tax (a nasty 15% tax commonly referred to a "social security and medicare" by working folks).

In the future, any similar situation, hire someone else to do the work, show the Tenant the receipt, deduct the amount from the security deposit.

Besides trying to find a realtor/agent to provide rental comps, is there a good method you use to research realistic rental rates for areas?