Pretty standard reasons:Not doing their job by not inspecting properties regularly.Not filling vacant units as quickly as other managers.Not having a large enough team to handle all the properties they are managing.Not reporting issues to us/owner.We took 10 properties in one area and gave equal number to two managers.  

We are looking for a "buy and flip" deal as that will be our niche business plan starting out.We are both equally new to real estate but she does work for a marketing company that is in the housing industry.We are seeking mentors, partners, pretty much any one that will allow us a 30 minute sit down to pick their real estate mind.

The property has unique (to say the least) challenges that require an equally unique skill set to solve.

It is not a guessing game, it is more of making educated assumptions and adjusting your strategy to suit the prevailing market conditions.There is more to this property investing business than meets the eye at first and obtaining a good understanding of investment fundamentals first, before investing in anything, is of vital importance.

The longer I live the more I realize that the good Lord did not see fit to distribute the gift of intelligence equally.  

I am equally happy with doing HML and they both have a place in my investment strategy.

Next, create a new rental agreement stating that the tenant will pay a base rent and agree to pay the "behind rent" over "X" amount of months_that equals to "_________" extra each month starting with "X" month.Your challenge will be overcome; and your fear, your father's fear, and your father's tenant's fear will all be overcome.

Initial Investment is defined as the Sales Price, NOT the Sales Price + the Cost of Improvements done to the property " So from the above statement, this seems to mean that the New " Cash Out " loan can NOT equal more than the Initial Purchase price for the property + the Closing Costs ?

I would agree with your approach, all things being equal.

Both units are equal with 800sqft.Rents:Unit 1 was rented for $750, lease expiring end of April.Unit 2 owner occupied, my property manager expected $950 on rent, I calculated for $900.So for both units I expected to achieve $1800 in rent, and hoped for $2000.