If it is negatively impacting other tenants than I would do something about it, if not it is really hard for me personally to approach a good paying tenant about something they are doing that is legal and not negatively impacting any other tenant.

.: not much, but we update them like it's a flip. that's our downfall and a sore subject. we hope it pays off with longer term tenants and better care of the properties.That is our approach as well - rehab like a flip. 

You're a "private lender" when you loan to someone you have had past dealings with, or they are approaching you based on a personal relationship, you make a loan to your neighbor or cousin. 

I am thinking of approaching the caretakers of the property now to try and wholesale it, flip it, or hold them as rentals if I can get them at the right price.

Hi Everyone,So i recently installed a security system at my two properties and when I asked about a discount I was told that they don't offer a discount for systems installed in rental properties.

So, if you have no issue with paying higher interest rates, or has the ability to loan to your own LLC to purchase the properties, then LLCs or Series LLCs is the way to go.For now, I go with the 2nd best approach, which is to cover myself with Landlord and Umbrella policies. 

The homeowner approached the court to sell it because he was done with the entire process, so they ordered it to be auctioned.

This will help you decide how to approach the investing side.

Hi Nicholas, Just want to thank you for starting this thread because I also am a newbie and I'm thinking along the same lines as you are as to my approach to getting into REI.I'm very pleased to see the incredible amount of response you've gotten on this forum and am encouraged by the other members here.I am curious and would like to ask the others if there is a REI club in the Tampa Bay area?

Here are some of the key stats:Purchase Price: $2.8MUnits: 100Unit Mix:50 3bed/2bath's @ $580/month50 2bed/2's @ $425/monthFinancing Approach:80% Bank20% 10% down payment10% seller financing @5% with a 5 year balloonConservative Annual Financials Financials:-15% vacancy-Rent potential: $618,000-Property Taxes: $30,000-Insurance: $21,000-Maintenance / Repairs: $60,000-Water / Utilities: $68,000-Advertising: $4,500-Property Management: $52,530 (management fee and employee salaries)-Garbage and Recycling: $15,000-Landscaping / Pest Control: $18,000-Security: $5,000In summary:-$525,300 gross income-$273,030 total expenses-$177,396 (5%) annual mortgageoFirst 5 years: Seller financing repayment on 10% of purchase price @ 5% interest rateOpportunities:-Sub metered, but water is covered by current owner (~$55k)-Increase rent on 2/2's to $485We would love to hear your thoughts on the good, the bad, and the things we haven't considered or simply answer any questions that you have.