However, from the perspective of the tenants I know, including friends and family who are Section 8 tenants, I have observed some concerning behavior.

But sometimes you have to look at it from purely rational and business perspective.

Small guys perspective:12 properties over the last 20 years. 

From my perspective, if you can get a 5/1 ARM at a lower rate, by all means take it.

Noted on the units too, ideally a nice 4plex would be the best case scenario but as you mentioned anything is better from a financial perspective than paying the amount in rent I am currently.This market could cash flow pretty well at 20% down if i find the right property as the prices are below national average and rents are actually fairly good in comparison to property prices (plenty of 1% opportunites on SFH with a minimal cosmetic TLC). 

-There will be zero vacancy from my perspective as a landlord.  

Having launched over 200 funds, I respectfully disagree, from an investor perspective,  the key thing to look for in a fund of funds model is deals where you are getting the same or better terms than if you go directly with the sponsor.

But, if it's all you know, I guess that limits your perspective somewhat.

@Corby Goade as a property manager you have a different perspective.

I concur with @Ryan Muska's perspective.