I would add, make sure you have good landlord resources as you enter into the landlord domain-lease agreement fitting your situation-resources for your tenant application process -needed landlord forms and notices-education resources-management tools (e.g. software to keep all records, pictures, payment history, etc.)Best wishes.

I've managed to save up $10k, but with those pesky doctor bills eating away at it, it's looking more like $8k.

I read in Brandon Turner's Managing Rental Properties that most banks do not loan on properties owned by LLCs. 

You'll also need a solid property manager who can rent the property out quickly once it's ready to go so you can get some tenants in there and maximize the value. 

Not having the right management can kill a deal (I'm looking at sponsors that self manage)And understanding the debt structure.

I didn't have the time to fix and flip, or buy one single family home per year, and try to manage it.Two big differences between SFH and Multifamily.

Out of the eight units I own and manage, I have had countless tenants choose our properties due to in-unit washer/dryer.

It's possible the deceased father agreed to let her manage the property and keep the rent net for her troubles, but the title/ownership remains in him so his heirs would inherit it as a legacy.I suggest your friend familiarize himself with the statute of frauds which I believe requires agreements regarding real estate be in writing to be enforceable.

It's important to take your time with tenant screening and be prepared to manage the property yourself.

For 15 years you manage to save up $20k per year and you have the missing $300k to pay $400k in cash.