If your only way of making money from an item is hoping that in the future someone else will pay more than you did, then that is gambling. 

This allows you to make an offer without a HI contingency which is much more competitive than one with the contingency since you are buying the property as is.You can still get the home inspection after you settle to capture all of the detail items.

Year 2 had some large expenses, including some CapEx items (water heater, roof).

If the credit items reported are up to date with no late payments that is generally good enough for me.

The previous owners did a do-it-yourself remodel which had tons of red flags if I had taken the time to cross-reference the sellers disclosure with the inspection report, but at that time the market was hot and I had to move fast.

Whether I find a new tenant or not, the departing tenant moves out after 30 days and is treated like an ordinary termination, which means I process their deposit like normal and they can earn a good landlord reference.2.

Everything else is a level of passivity vs. how much management and oversight you want.I will still have more active investments as well, but I think it's silly when passive income is referred to as part of say, multifamily.

I’m all about less is more, it allows me to put more focus on higher priority items. 

They understand that there's value in what they provide, which is steady, documented income, minimal turnover, steady payment, quality references, no drama, and peace of mind.

I'd just make sure to check their references.