I have to believe this business follows the 80/20 rule, with 20% or so of host/managers producing 80% of the revenue.

Exceed 1% rule.  12,000 / 1,000,000 = 1.2%.

Silly rule.

Don't be surprised if you call 50-100 banks about this before you find a solution.

Make sure you get at least the 1% rule meaning $1000 of rent for each $100k of purchase.

Those are the rules I've set, and if they break them then they run the risk of incurring late fees.  

We're thinking of starting with a 50 unit apartment building and moving up from there.

What Market Are You In : DallasHow Long Have You been Sending Mail : About 1 yrHow Many Pieces per Month: 2,000Yellow Letter/Postcard/Other: Similar to a letterList Criteria: Driving for Dollars List / Absentee over 40 w/50% equityList Source: List SourceDeals per Month from DM: .33Average Gross Profit per Deal : $12,500Thanks Everyone!!!

With this same property and an estimated rent at $1000 a month here are the numbers:Mortgage $485 (75k at 4.75 for 20 year amortization)Taxes $100 (This is a guess because I have no idea what they would be in your properties area)Insurance $50 (This is also a guess but I am basing it off of my own rentals)Property management at 10% $100 (This depends on if you will be managing it yourself or not)Capital expenses savings for repairs 10% $100Vacancy 10% $100Monthly cash flow = $65 (6% APR rate of return on your 13k left in the property).Now there are several variables in this example.  

You'll likely continue to hear different stories, for the simple reason: Different Lenders = different rules/overlays!