Now that you mention it - I did discover a cracked pvc drain under the kitchen sink.

I would love to hear more details about that - when was the deed restriction discovered (post-closing), what was the resolution, etc.  

I suspect the problem is that David won the eviction and then discovered additional cleaning/repair charges after the tenant was removed from the home.Regardless, I send this stuff to collections.

Purchase price: $55,000 Cash invested: $420 Akron SFR - purchased with a discount after discovering roof issues via home inspection.

The loan terms and options that are offered by these institutions will sometimes vary greatly from one to the other.

Of course, if something meaningful is discovered in the due diligence step that will impact the price but in the beginning you don't have much..

Then I discovered BiggerPockets and here we are!

Below are the pros and cons of investing through a private equity firm (i.e. capital raiser).Pros:Access to opportunities - passive deal flowAccess to opportunities - some sponsors have offerings with high minimums that only an institutional investor or capital aggregator can meetPreferable deal terms - some firms will negotiate favorable investor terms and the operating sponsor will accommodate them because they have one investor coming in with millions...and the operating sponsor may have an immediate capital needDiligence - some firms perform months of extensive diligence on the operating sponsor and the properties (other firms, not so much)Cons:One more party to vet/qualify and rely on (critical factor)One more party splitting property profits (investor terms are worse in some cases)Less access to the operating sponsor in some casesDelayed K-1s in some cases (aggregated K-1 goes to the investor firm and then individual K-1s are generated)Some operating sponsors offer a small share of the GP to investors who come in at $250-500k and above and that compensation is not available with a firm involved (i.e. the firm gets it instead)Most of the firm's investors probably don't care or don't know. 

Unfortunately I've just discovered that when I got a heloc on it 2 years ago the bank apparently over-valued it significantly -- almost double its current FMV.

Hey @Stephen Anderson, I'm not sure about it being a good niche for new investors but a great niche to think about is the mobile home or manufactured housing niche.Many experts agree that this is the only remaining real estate asset class that is approaching rather than passing its prime for profitability with the consolidation phase barely having begun.Municipal zoning laws regarding new developments of this kind mean that owners of manufactured housing communities will have little or no local competition in the affordable housing market.Market indications are that this asset class will become increasingly attractive to larger institutional investors with an expected dramatically positive impact on property values.Should the economy face another downturn, the value of this asset class will still increase.Just an idea.