If you're testing the waters, just buy adequate insurance to protect yourself until you have a proper legal structure.

They could learn that FHA will finance up to 4 units, get all their income documentation in place, get their credit score improved to the proper level, get the seller to do the required repairs, get funds properly gifted for their down payment, contest a bad appraisal and get it revised, and think their good to go......then they find out that while FHA finances up to 4 units, they have to be owner occupied, and the buyer can't do that so the deal is dead and all the work was for nothing.

Why not flip a few homes using other people's money and the smallest down payment possible and with the additional income from profits make th e 20% down on a 2-4 unit property where you can live and have others pay the mortgage.

Hi Wayne, my best advice for probates is to work with a probate attorney to make sure all of the proper contracts and legalities are being used.

Or if they win the monthly prize a $20 max ( including tax) prize is a good incentive, including the "thank you for being a great resident / tenant" is also proper to include.Christmas is be about caring / sharing and giving back to the people that basically give you your income.

My friend asked me to reach out because the contractors he has now are doing a terrible job and don't have the proper permits to finish the job.

I've been on Bigger Pockets for about 10 days now and have spent a lot of time listening to podcasts, reading articles, e-books, webinars, etc.  

Rich Dad Poor DadRich Dads Cash Flow QuadrantRich Dads Increase your financial IQThe Real Book of Real EstateThe ABC’s of RE InvestingThe ABC’s of PMRich Dad RE Tax AdvantagesThe 10X RuleThe E-MythThe 4 Hour Work WeekBiggerPocketsPodCast -I hear #136 is exceptional!

I was a newbie, I did not know how to screen or evict tenants properly, and my tax returns showed loss after depreciation. 

IMO and experience the 50% rule is overly conservative - - I use 30% of GSI as a boundary to determine if the property is being managed properly - - lower indicates inaccurate data and higher indicates obsolete fixtures and equipment.