It is especially important for financing reasons as you don't want to run out of money!! 

Now you run the risk of the bank calling the loan due if they find out about this transaction happening and if you quit claim deed a property off market then you might have problems with the sale of the property and more signatures may be required by the old owner in order to sell and you will assume any liens/encumbrances the old owner has you might miss since you didn't have a title company transfer title.

Hau, I hear what your saying about negative cash flows and I too ran the runs.

I did run across an off market deal that turned into a non-deal (if that's a word).

(Other than my own house)I had all of standard excuses running through my head. 

We hope to both hit the ground running pretty quickly in the coming months.My question for you guys is this:  Once we become more experienced, do you see value in partnering 50/50 on properties in each other's states for Buy and Hold purposes?  

Account Closed,As others have said, sit down or chat with a mortgage person and let them run the numbers.

Have the current  owner get, what are called Loss Runs from each company that had the insured over the past 5 years (or more if you can get them to do it) . 

In the end, ideally, I would be quitting my day job to run this company.  

I've got family there who own property in the area which has been profitable in the long run for them.