Tenant stopped paying rent before 2 months of the lease expiring, property manager filed for eviction process but tenant vacated the property before sheriff served the notice.

I was told that I have to use the lease value * 0.75 until there are two years of rental income.

@Anthony MillerYour property management experience is a major advantage as you start investing, giving you a head start with tenant screening, lease agreements, and maintenance coordination.

My condition was that they rent the house for 1% of the costs and sign a 3 year lease.

And also I inherited the tenant and havent signed lease with them been advised to better honor the same terms of the seller until their contract finish.

Some Lenders can even take just the Lease Agreement.

I would hire out a leasing agent and work a bonus structure in that allows for them to exceed the 5% given they beat my planned vacancy number. 

My policy covers every tenant named on the lease for one price.

I would think transient room mates on renewable short leases would be much safer than bearing the brunt of San Francisco's LTR tenant laws.

I don't use padsplit (weekly rentals); I rent on long-term leases in B Class neighborhoods.