Just make sure you state in contract that terms and conditions shall bind all successors, heirs, administrators, trustees, executors, and assignees of the respected parties.

The salesman, David, told me it was a $500 administrative fee, along with a $500 marketing budget.

Just for clarification, here is my concept in a nutshell:Acquire properties to fix and flip, fix and hold, or wholesaleOwner/operator will be a wife/husband teamReal estate agent for power to buy and sell (commissions may be useful, not sure if necessary)Personally engaged in procurement activities, project management, and administrative activitiesExpecting to employ full-time help in future phases of developmentLet me see if I’ve got this right…Solo 401k:Investment must be in an existing business already producing a self-employed based income for owner/operator/investor – no full-time employeesPersonal income must be a result of actually performing a role in the business, as in not a 100% automated system.

This is the most exact method, but also the most administratively heavy.- Flat fee - You establish the "normal" bill for each utility and you collect that flat fee for each bill alongside the rent each month. 

I once had 2 guys who rented an apartment, one on drugs, can't pay his share, and they fell behind.

The fact the tenant is reluctant to let you in raises a big red flag with me (re drugs or something to hide).  

Another way to look at the fee:In a traditional 401K with the company that you work for the plan owners pay a yearly fee (be it an outright fee or a % of earnings) That fee pays the plan administrators and covers the cost of keeping the plan compliant.  

I  would also caution if thats your only metric you could end up in some C/D areas with heavy turnover and crime/drugs/etc.

If you really want to get scared away from Memphis, check out the Drugs, Inc. episode on Memphis.  

It was a probate property and I have been dealing directly with the special administrator since that time.