ThanksOne thing to consider :If someone wants to rent a unit, but you don't do a "background check" using a valid SSN...you'll probably have to forego background checks on all other applicants of the building... since if someone's application gets denied to do a bad background check (eviction, violent crime etc..) they can file a claim against you for not treating all applicants the same..

In order to avoid many of these people, I pass on those with any kind of violent charges against.

Look up the crime data and violent versus non-violent crimes and any increase in frequency.

Check frequency and if crimes are increasing or decreasing and also check if most crimes are violent or non-violent offenses.If you are buying 188,000 all cash you might want to look at a larger apartment building where you can leverage with finance.When doing deals you have to look at different pricing for different structures.I would have a different price for: 1. paying all cash2. owner holding a second note3. owner financeYou still do not overpay but when you put all cash down you need to get more yield for the property as you want to easily recapture some of that liquidity.If you have 2 million cash and are spending 200k it's can be not as important but if you are spending 188,000 cash and you have only 250,000 total then it becomes a bigger issue.

Wife decides to date a violent gang member, and some of his posse moves in.

Qualification equals income = 3x rent, credit 650+, no housing court issues, no violent crimes. 

Violent felonies are another non negotiable though.

What about when he wants to collect rent and they get violent?

@Paul Sandhu You have a 1 in 16 chance of being a victim of a violent crime here.

I think you can easily do it, and who's to say that after this "gentrification" comes full circle that there will be enough people out there to want to move there knowing about it's violent past, regardless of how much improvement has happened in the area?