Of course, these properties are full of challenges so be prepared before you start. 

However, I’ve been hesitant due to challenges like remote management, high interest rates, and low cash flow.

Challenges?

Cash flow often being reinvested into property expenses, which can make it challenging to rely on alone.

Real Estate is rewarding, and challenging.

Challenges?

Every property comes with its own characteristics and challenges. we have sold to hundreds of investors by now and there are some that had a bad experience as far as the property goes but theres also tons who havent had any issues.

That process has direct lender involvement.Where the challenge lies, is when unsophisticated "investors" with no experience, no money and no reserves use creative financing (often called wrap, subto, lease option, seller financing, land contract) to purchase properties and along the way there is a "hiccup".

The more challenging stipulation is you would need to use it more than 50% of the time for business use (and you need to log the miles to document that).  

What are the biggest challenges people have faced with this.