If you can't keep control of your personal finances, you are highly unlikely to succeed in real estate investing.

The majority owner should be required to sign reps & warrants at closing to be personally liable for them.You didn't mention checking the plumbing - hidden plumbing leaks can cause more damage over time than just about anything else!

This person is eating up your time and sanity.

@Johnery LaurimoreRecommend exploring as many sources as possible to get referrals AND cross-reference them to get as much accurate information as possible.Check out NARPM.com, BP’s Property Manager Finder, etc.Also, encourage you to learn from the mistakes of others - by reading posts here on BiggerPockets about owners not having their expectations met by their current Property Management Company.

I only use it for my personal stuff, and exclude anything that has to do with my rentals, which I'm assuming would be the plan for yourself.

I try to encourage the very best tenants to stay by keeping rent low, but only if they are perfect in every way: timely payments, no lease violations, maintain homes, communicate well, etc. 

Do not just get randoms, this is going to take a lot of work to protect your privacy and personal residence.

Either for violating the Alienation clause or non payment of tax insurance or mortgage payment.Now you friend is trying to figure out what to do. its simple he needs to stroke a check and pay the mortgage off. probably does not have enough time to refi.Now scenario 2.. your friend bought a sub 2 from some one that did the sub 2 and they are not paying your friend is now going to lose his/her house even though they have paid the person who bought it sub 2 ripped his payments and did not pay the underlying and is just a theif.which is it ???

I personally own properties in the counties of Orange, Los Angeles, Riverside and Kern. 

It sounds like you personally are focused on an urban infill strategy which maximizes density and price per square foot rent.