Something I failed to mention is that I would try to get initial loan including the $50k rehab so that my cash invested would be significant lower. 

Not junkers that failed inspection 3 times, just outdated.

Zillow Rental Manager tends to have the best qualified tenants but posting in local Facebook groups gets me the most responses (though a lot of the people who contact me apparently fail to read the rental qualification information as a lot don't meet the required credit score).

If all that fails then its probably time to move on to the next one.

As I said in the original post some cities penalize the investor if he lives out of town by making her pay an additional fee.In some cities, investors are charged in Grimaldi court if a tenant fails to bring in an empty trash bin with 12 hours.State law requires all home owners to declare any known lead paint issues.

Too many people are too worried about the risk to get started and to me, that is a bigger travesty than rolling the dice and failing. 

LOL1) I already know about that great idea2) I see a very sad thing, people here sometimes discourage other property owners when they ask advice, There is "nothing" wrong I'd you try it by your own, and you may fail too.... that's way of life.

That is the argument that I was failing to convey. 100 Likes for your post sir.

Also, its possible that over several years the mechanisms in a cheap internal doorknob may fail.

I would want earnest money to be atleset 3 times one month's rent plus attorneys fee. as you'll need that to cover losses in the event that the sale fails, the tenant sues and you now have to defend yourself.